All of the following statements are true regarding cash flow presentations except
A)the balance sheet provides only limited information about a company's cash flows.
B)the balance sheet provides information about how property, plant, and equipment were financed.
C)the income statement does not show how much cash was generated by operating activities.
D)if cash from operations is compared to net income, information about the quality of reported net income is revealed.

Question

Quizplus · Accepted Answer

The balance sheet does not provide detailed information about how property, plant, and equipment were financed; this information is typically found in the cash flow statement and notes to the financial statements.

All of the Following Statements Are True Regarding Cash Flow