In theprocedure for preparing the statement of cash flows using a T-account work sheet, a master T-account for _____ appears at the top of the work sheet.
A)cash
B)working capital
C)financing
D)operations
E)net income

Question

Quizplus · Accepted Answer

The master T-account for cash appears at the top of the work sheet because the statement of cash flows primarily focuses on the cash flows of the company. The other options, such as working capital, financing, operations, and net income, may be used as subsidiary T-accounts to assist in preparing the statement of cash flows, but they are not the primary focus of the statement.

In Theprocedure for Preparing the Statement of Cash Flows Using