In general,the cash flow from operating activities is considered by many to be the most important component of the statement of cash flows.Most analysts believe the cash flows from operating activities section of the statement is the most important because,in the long run,operations are the only continuing source of cash.

Question

Quizplus · Accepted Answer

This statement is true, as the cash flows from operating activities show the cash generated or used by a company's core business operations, which are ultimately responsible for generating long-term cash flows.

In General,the Cash Flow from Operating Activities Is Considered by Many