Which of the following shows how much cash is available to cover expenses, to invest, or to take as profit?

Question

Quizplus · Accepted Answer

The cash flow statement shows the inflows and outflows of cash for a specific period of time, providing information on how much cash is available to cover expenses, invest, or take as profit. Option A, the statement of income and expense, shows the revenue, expenses, and net profit or loss for a specific period but does not provide information on the cash available. Option B, the trial balance, is a list of all accounts with their balances, used to check the accuracy of the accounting records but does not provide information on cash available. Option C, tracking, is a general term that can refer to various forms of monitoring but does not specifically relate to cash availability. Option E, quarterly return, refers to the performance of an investment over a specific period but does not provide information on the cash available.

Which of the Following Shows How Much Cash Is Available