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42A Money flows arising from changes in ownership pursuits in a subsidiary that do not lead to a loss of control shall be categorized as cash flows from financing actions , except the subsidiary is held by an funding entity, as outlined in Ind AS one hundred ten, and is required to be measured at honest worth through profit or loss. forty two The aggregate amount of the money paid or acquired as consideration for obtaining or shedding control of subsidiaries or different companies is reported in the statement of money flows web of cash and cash equivalents acquired or disposed of as part of such transactions, occasions or changes in circumstances. Due To This Fact, taxes paid are usually categorized as cash flows from operating actions.
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An entity recognises a money move in its statement when there is an actual inflow or outflow involving cash or cash equivalents during the reporting period. Indirect method Adjusts profit/loss for non-cash gadgets and working capital adjustments to derive money move. Financing actions Activities changing contributed fairness or borrowings structure. Operating activities Main revenue-generating actions not classified as investing or financing.
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Resources
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