The financial statement that identifies a company's cash receipts and cash payments over a period of time is the:
A)Statement of financial position.
B)Statement of cash flows.
C)Balance sheet.
D)Income statement.
E)Statement of retained earnings.

Question

Quizplus · Accepted Answer

The statement that identifies the company's cash receipts and cash payments over a period of time is the statement of cash flows. The other options do not focus specifically on cash transactions. The balance sheet is a snapshot of assets, liabilities, and equity at a given point in time. The income statement shows revenues and expenses over a period of time. The statement of retained earnings shows changes in retained earnings over a period of time.

The Financial Statement That Identifies a Company's Cash Receipts and Cash