Usually,the most important category on the statement of cash flows is cash flows from:
A)operating activities.
B)investing activities.
C)financing activities.
D)noncash activities.

Question

Quizplus · Accepted Answer

Cash flows from operating activities is usually the most important category on the statement of cash flows because it relates to the company's core business activities, including cash received from customers and cash paid for operating expenses. This category is also used to calculate metrics such as free cash flow, which can be an important driver of shareholder value. Investing and financing activities are also important categories, but they are usually secondary to operating activities. Noncash activities, such as depreciation and amortization, are important to understand but do not directly impact the company's liquidity position.

Usually,the Most Important Category on the Statement of Cash Flows