Which One of the Following Statements Is False

question 19

Multiple Choice

Which one of the following statements is false?

• A) The statement of cash flows reports the cash receipts and cash payments of an entity over a period of time.
• B) Transactions affecting the sale and the purchase or production of goods and services are reported in the operating activities section of the statement of cash flows.
• C) Both the statement of cash flows and the income statement determine the net income for a company.
• D) Investing activities in the statement of cash flows include acquiring and selling long- term assets.

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Definitions:

Federal Budget

An annual financial statement presented by the government detailing its anticipated revenues and expenditures for the coming fiscal year.

Federal Agencies

Federal agencies are specialized government organizations responsible for the oversight and administration of specific functions at the national level.

Debt Ceiling

The debt ceiling is a legislative limit on the amount of national debt that can be incurred by the U.S. Treasury, limiting how much money the federal government may borrow.

Political Tool

A method or instrument used by individuals, groups, or governments to achieve political aims or objectives.