The study focuses on the analysis of cash flow statements with an objective to know the impact of the cash flow from operating activity, investment activity and financing activity on the liquidity position of the selected oil industries i.e., public sector (HPCL) and private sector (RIL). For this purpose the impact of cash flow on liquidity position i.e. (short-term analysis) of intra-firm and inter-firm statements analysis with the reference to financial techniques and statistical tools namely, cash flow analysis and cash generating efficiency ratio, average, standard deviation and student‘s-―t‖ test have been applied to analysis, whether the selected units statistically significant or not.
Keywords: operating activity, investment activity, financing activity, liquidity position, public sector, inter-firm statements ETC.
