The statement of cash flow is considered a source of internal information for the financial analysis of an entity's solvency and its capacity to continue as a going concern.

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The statement of cash flow provides information about an entity's cash inflows and outflows, which is useful for analyzing its ability to meet short-term obligations and to sustain operations in the long-term. As such, it is primarily used as an internal tool for financial analysis, rather than as a means of communicating financial performance to external stakeholders.

The Statement of Cash Flow Is Considered a Source of Internal