The total change in cash should equal the net income for the period.

Name: The total change in cash should equal the net income for the period.
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Question

Quizplus · Accepted Answer

The total change in cash can be affected by various factors, such as investments, financing activities, or changes in non-cash elements of the income statement. Therefore, the total change in cash does not necessarily have to equal the net income for the period.

The Total Change in Cash Should Equal the Net Income