Cash flow statements

Abstract

There is no statutory requirement for companies to produce a cash flow statement. However, FRS 1 (revised) Cash flow statements requires financial statements intended to give a true and fair view of the reporting entity’s financial position and profit or loss to include such a statement and related notes, unless the entity is specifically exempted from producing a cash flow statement by the standard. [FRS 1(4)] Such exemptions are dealt with in 17.9 below.