Preparing the Statement of Cash Flows Involves All of the Following

question 74

Multiple Choice

Preparing the statement of cash flows involves all of the following except determining the

• A) cash provided by operations.
• B) cash provided by or used in investing and financing activities.
• C) change in cash during the period.
• D) cash collections from customers during the period.

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Definitions:

Realized Gain

The profit made from the sale of an asset, recognized when the asset is actually sold and the transaction is complete.

Consolidated Financial Statements

Financial statements that present the assets, liabilities, equity, income, expenses, and cash flows of a parent company and its subsidiaries as a single economic entity.

Voting Shares

Shares of a corporation's stock that grant the shareholder the right to vote on corporate matters, such as the election of the board of directors.

Consolidated Financial Statements

Financial statements that present the assets, liabilities, equity, income, and cash flows of a parent company and its subsidiaries as one single entity.