A Cash Flow Statement follows a standardized format as per AS-3. The statement presents information in the following order:
First, Cash flows from Operating Activities are shown, as they represent the primary revenue-generating activities of the business.
Next, Cash flows from Investing Activities appear, showing cash movements related to purchase and sale of long-term assets.
Then, Cash flows from Financing Activities are presented, displaying cash flows related to equity and borrowings.
Finally, after calculating the net increase or decrease in cash from all three activities and adding the opening balance of cash and cash equivalents, Cash and cash equivalents at the end of the period is determined and shown at the bottom of the statement.
Therefore, the correct sequence is: (B) → (C) → (D) → (A)
Correct Answer: Option 4