Which of the Following Statements Concerning the Statement of Cash

question 177

Multiple Choice

Which of the following statements concerning the statement of cash flows is true?

• A) The statement of cash flows is usually more accurate when using the indirect method.
• B) If the direct method is used, a supplementary schedule reconciling net income to net cash from operating activities must still be provided.
• C) The statement of cash flows reflects both earnings per share and cash per share.
• D) The statement of cash flows is an optional financial statement for external reporting purposes.

---

Definitions:

Flexible

The quality of being adaptable or open to change, often referring to plans, strategies, or individuals’ work arrangements.

Cultural Competency

The ability of individuals and organizations to effectively interact, work, and understand cultures different from their own.

Audience-Focused Attitude

An Audience-Focused Attitude involves tailoring communication or actions to suit the interests, needs, or expectations of the target audience.

Low-Context Culture

A culture that relies heavily on explicit and direct communication, valuing clear messages.