The statement of cash flows provides information to help investors and creditors assess the cash and noncash investing and financing transactions during the period.

Question

Quizplus · Accepted Answer

The statement of cash flows aims to provide information on the sources and uses of cash during the period, including cash and noncash investing and financing transactions. This information is helpful for investors and creditors to evaluate the liquidity and solvency of a company.

The Statement of Cash Flows Provides Information to Help Investors