The ________ is needed to prepare the statement of cash flows.
A)accounts receivable ledger
B)accounts payable ledger
C)general journal
D)balance sheet from the beginning and ending of the period

Question

Quizplus · Accepted Answer

The balance sheet from the beginning and ending of the period is necessary to determine the changes in cash and cash equivalents during the period, which is the basis for preparing the statement of cash flows. The accounts receivable ledger and accounts payable ledger are used to prepare the balance sheet and income statement, but are not directly needed for the statement of cash flows. The general journal is used to record transactions, but does not provide information specific to the statement of cash flows.

The ________ Is Needed to Prepare the Statement of Cash