A primary objective of the statement of cash flows is to show the earnings or loss on investing and financing transactions.

Question

Quizplus · Accepted Answer

The primary objective of the statement of cash flows is to show the inflows and outflows of cash from operating, investing, and financing activities, rather than showing the earnings or loss from those activities. However, the statement of cash flows can indirectly provide information about the earnings and losses on those transactions.

A Primary Objective of the Statement of Cash Flows Is