Explain construction of Fund Flow Statement with example.

A Fund Flow Statement is a financial document that tracks the movement of funds in and out of a company. It is designed to show how cash is generated and spent during a specific period, offering insights into the financial health and liquidity of a company. The Fund Flow Statement is crucial for understanding the sources and applications of funds, as it provides a more detailed view than the traditional Income Statement or Balance Sheet.

The construction of a Fund Flow Statement involves several key steps. This statement focuses on two primary sections: sources of funds and uses of funds. It differs from a cash flow statement because it deals with both cash and non-cash transactions, providing a broader perspective of the financial activities.

### Steps to Construct a Fund Flow Statement

#### 1. Identify the Changes in Working Capital
   The first step in constructing a Fund Flow Statement is to determine the changes in working capital. Working capital is defined as the difference between current assets and current liabilities. A change in working capital indicates the movement of funds during a period. If the working capital increases, it suggests that more funds have been _______ _________ ______ ________ ____ _____ ____ __________ _________.
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