The sources and uses of cash over a stated period of time are reflected on the:
A) income statement.
B) balance sheet.
C) tax reconciliation statement.
D) statement of cash flows.
E) statement of operating position.

Question

Quizplus · Accepted Answer

The statement of cash flows shows the sources and uses of cash over a stated period of time, including operating activities, investing activities, and financing activities. This statement provides important information about a company's liquidity and ability to generate cash to meet its obligations. The income statement shows the company's revenues and expenses during a period of time. The balance sheet shows the company's assets, liabilities, and equity at a specific point in time. The tax reconciliation statement shows the computation of tax expense or benefit for the period. The statement of operating position is not a recognized financial statement.

The Sources and Uses of Cash Over a Stated Period