In addition to analyzing the cash account, a second approach to preparing the statement of cash flows is to explain changes in cash by analyzing changes in

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13-12-2022
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In addition to analyzing the cash account, a second approach to preparing the statement of cash flows is to explain changes in cash by analyzing changes in

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rairicha556 rairicha556 · Answer 1 · 2022-12-16T06:34:55+01:00

A second approach to preparing the statement of cash flows is to explain changes in cash by analyzing changes in liability accounts, Equity accounts, Noncash assets accounts.

What is the statement of cash flows?

A cash flow statement is one of the financial statements published by a company that summarizes the cash flows into and out of company. Its primary focus is on cash-generating and cash-using activities, such as operations, investments, and finance.

A cash flow statement is a financial report that summarizes all cash inflows received by a firm from continuing activities and external investment sources. It also covers all cash outflows used to fund corporate operations and investment during a certain time period.

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