The accounting statement that reports cash receipts and disbursements for a business is called the:
A)balance sheet.
B)income statement.
C)cash flow statement.
D)cash basis trial balance.

Question

Quizplus · Accepted Answer

The cash flow statement reports the cash inflows (receipts) and outflows (disbursements) for a business over a specific period of time, providing information on the company's liquidity and ability to generate cash. The balance sheet reports a company's assets, liabilities, and equity at a specific point in time, while the income statement reports a company's revenues, expenses, and net income over a specific period of time. The cash basis trial balance is a tool used to ensure that the total debits equal the total credits in a company's accounts using the cash method of accounting.

The Accounting Statement That Reports Cash Receipts and Disbursements for a Business