The Basis Recommended by the IASB for the Statement of Cash

question 46

True/False

The basis recommended by the IASB for the statement of cash flows is actually "cash and cash equivalents."

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Definitions:

Liability

A legal obligation or responsibility for the outcome of actions or for the debts of another.

Term-Life Insurance

Life insurance that provides coverage for a specified term.

Specified Term

A fixed-duration period explicitly stated in a contract or agreement, after which the contract may expire if not renewed.

Incontestability Clause

A provision in a life insurance policy that prevents the insurer from disputing the policy's validity after it has been in force for a certain period, typically two years, except under circumstances such as fraud.