Which financial statement reports the sources and uses of an entity's cash resources?
A)Income statement
B)Statement of retained earnings
C)Balance sheet
D)Statement of cash flows

Question

Quizplus · Accepted Answer

The statement of cash flows reports the sources and uses of an entity's cash resources, showing the change in cash balance over a period of time. It categorizes cash transactions into three sections - operating activities, investing activities, and financing activities. This statement provides valuable information about an entity's liquidity, solvency, and overall financial health.

Which Financial Statement Reports the Sources and Uses of an Entity's