The double-entry system is NOT used in the preparation of the ______.
A) statement of changes in equity
B) income statement
C) balance sheets
D) statement of cash flows

Question

Quizplus · Accepted Answer

The statement of cash flows follows a different format and does not use the double-entry system. It simply summarizes the inflows and outflows of cash during the period. The other three financial statements (statement of changes in equity, income statement, and balance sheets) all use the double-entry system to ensure accuracy and completeness.

The Double-Entry System Is NOT Used in the Preparation of the ______