Which of the following shows the money flowing into and out of a company through its operating, investing, and financing activities?
A) retained earnings
B) statement of cash flows
C) income statement
D) operating budget

Question

Quizplus · Accepted Answer

The statement of cash flows shows the money flowing into and out of a company through its operating, investing, and financing activities, making it the best choice among the options given. Retained earnings reflect the amount of a company's profits that are retained in the business and reinvested rather than paid out as dividends. The income statement shows a company's revenues and expenses over a period of time (e.g. a quarter or a year). The operating budget is a plan for a company's expected revenues, expenses, and profits for a specific period.

Which of the Following Shows the Money Flowing into and Out