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21 Feb 2020

The primary purpose of a statement of cash flows is to provide relevant information about the cash receipts and cash disbursements of an enterprise during an accounting period. True or False?

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Sixta Kovacek
Sixta KovacekLv2
21 Feb 2020
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Related questions

The primary purpose of a statement of cash flows is to provide relevant information about:

a. Difference between net income and associated cash receipts and disbursements.

b. An entity’s ability to generate future positive net cash flows.

c. The cash receipts and disbursements of an entity during a period.

d. An entity’s ability to meet cash operating needs.

1.The primary purpose of a statement of cash flows is to provide relevant information about

a. Differences between net income and associated receipts and disbursements
b. An entity's ability to generate positive net cash flows
c. The cash receipts and cash disbursements of an entity during a period
d. An entity's ability to meet cash operating needs

7. An appropriation of retained earnings by the board ofdirectors of a corporation for future plant expansion will resultin. Please explain

A.

A decrease in the total retained earnings presented on thebalance sheet.

B.

A decrease in cash on the balance sheet with an equal increasein the investments and funds section of the balance sheet.

C.

The establishment of a fund to help finance future plantexpansion.

D.

The disclosure that management does not intend to distribute, inthe form of dividends, assets equal to the amount of theappropriation.

8. The primary purpose of a statement of cash flows is toprovide relevant information about. Please explain

A.

Differences between net income and associated cash receipts anddisbursements.

B.

An entity’s ability to meet cash operating needs.

C.

An entity’s ability to generate future positive net cashflows.

D.

The cash receipts and cash disbursements of an entity during aperiod.

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