The information presented in the funds flow statement can also be presented in a ledger format which is commonly called the 'T' form.
The sources/inflows of funds are shown on the left site and the outflows/applications are shown on the right side making up a format similar to a ledger account.
| Statement of Sources and Applications of Funds for the period from __ to __ |
|---|
| Sources/Inflows of Funds | Amount | Applications/Outflows of Funds | Amount |
|---|
Share Capital
Funds from Operations
[P/L Appropriation account] | 5,000
3,000 | General Reserve
Machinery | 2,000
2,000 |
| 8,000 | | 4,000 |
| Change in Fund (Working Capital) | 4,000 | | |
Since the Sources/Inflows are more, there is a Net increase in Fund (Working Capital)
