The Primary Purpose of the Statement of Cash Flows Is

question 76

Multiple Choice

The primary purpose of the statement of cash flows is to provide information

• A) about an entity's operating, investing, and financing activities during a period.
• B) that is useful in assessing cash flow prospects.
• C) about an entity's cash receipts and cash payments during a period.
• D) about an entity's ability to meet its obligations, its ability to pay dividends, and its needs for external financing.

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Definitions:

Greenhouse Gas

Gases in Earth's atmosphere that trap heat, contributing to the greenhouse effect and impacting global climate change.

Nitrous Oxide

Nitrous oxide, also known as laughing gas, is a colorless, non-flammable gas used as an anesthetic in dentistry and surgery, and also as a greenhouse gas contributing to climate change.

Methane

A colorless, odorless flammable gas that is a major component of natural gas and a potent greenhouse gas contributing to global warming.

Climate Models

Complex computer programs that simulate the Earth's climate systems to predict future climate changes based on various scenarios of greenhouse gas emissions.