The information in statement of cash flows should help investors and creditors evaluate:
A) the company's ability to collect dividends and pay obligations.
B) the reasons for the difference between net liabilities and net cash provided or used by operating activities.
C) the investing and financing transactions during the period.
D) the company's ability to generate past cash flows.

Question

Quizplus · Accepted Answer

The statement of cash flows provides information about a company's cash inflows and outflows from investing and financing activities, helping investors and creditors evaluate these transactions during the period.

The Information in Statement of Cash Flows Should Help Investors