Cash flow statements provide useful information about the nature of cash flows.

Question

Quizplus · Accepted Answer

Cash flow statements provide detailed information about the inflow and outflow of cash in an organization, including its operating, investing, and financing activities. This information is helpful in analyzing the financial health of the organization and making investment or strategic decisions. Therefore, the statement is considered useful in providing valuable insights about the nature of cash flows.

Cash Flow Statements Provide Useful Information About the Nature of Cash