Question:
Describe the purpose of the statement of cash flows.
Answer:
The purpose of the statement of cash flows is to provide information about the cash receipts and cash
disbursements of an enterprise during a period. Similar to the income statement, it is a change statement,
summarizing the transactions that caused cash to change during a particular period of time.
Describe the purpose of the statement of cash flows.
Answer:
The purpose of the statement of cash flows is to provide information about the cash receipts and cash
disbursements of an enterprise during a period. Similar to the income statement, it is a change statement,
summarizing the transactions that caused cash to change during a particular period of time.
