The Primary Purpose of the Statement of Cash Flows Is

question 79

True/False

The primary purpose of the statement of cash flows is to provide information about the cash receipts and cash payments of a company during a period.

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Definitions:

Business Combination

A transaction or other event in which an acquirer gains control over one or more businesses.

Consolidated Balance Sheet

A financial statement that combines the assets, liabilities, and equity of a parent company and its subsidiaries into one document.

Noncontrolling Interest

A minority interest in a subsidiary that is not owned by the parent company, representing shareholders' equity in subsidiaries not attributable, directly or indirectly, to a parent.

Foreign Currency

The money or legal tender issued by a country's government, which is used and traded internationally outside of the issuing country.