A financial report that forecasts how much money will be available after paying expenses is a(n):
A) Income statement.
B) Balance sheet.
C) Cash flow statement.
D) Capital report.
E) None of the above.

Question

Quizplus · Accepted Answer

A cash flow statement forecasts how much money will be available after paying expenses by showing the sources and uses of cash over a certain period of time. An income statement reports revenue, expenses, and net income or loss, while a balance sheet reports assets, liabilities, and equity. A capital report is not a commonly used financial report.

A Financial Report That Forecasts How Much Money Will Be