The statement of cash flows, provides users of financial statements with a basis to assess the ability of the entity to generate cash and cash equivalents and the needs of the entity to utilize those cash flowsGroup of answer choicesTrueFalse

The statement of cash flows is a financial statement that shows ______.

A statement of cash flows is needed because:Group of answer choicesaccrual-based financial statements are historic.it enables users to understand more clearly the entity's sources and uses of cash.accrual-based financial statements are not accurate.none of the options are true.

The Statement of cash flows helps management, investors, creditors and other interested parties evaluate the following about the entity (choose all that apply):Group of answer choicesCash investing and financing transactions for the periodExplains the difference between profit and net cash provided (used) by operating activitiesAbility to pay share dividends and meet obligationsAbility to generate future cash flows

The Statement of Cash Flows:Multiple Choiceis an optional financial statement.shows the change in the fair value of the company's common stock during the period.shows how cash changed during the period.shows the dividends that will be paid in the future.

The statement of cash flows is:Multiple ChoiceA financial statement that lists the types and amounts of the revenues and expenses of a business for an accounting period.Another name for the statement of financial position.A financial statement that reports the cash receipts (inflows) and cash payments (outflows) for an accounting period, and that classifies those cash flows as operating activities, investing activities, or financing activities.A financial statement that lists the types and amounts of assets, liabilities, and equity of a business on a specific date.A financial statement that presents information about changes in equity during a period.