A Purpose of the Statement of Cash Flows May Be

question 114

Multiple Choice

A purpose of the statement of cash flows may be which of the following?

• A)The purpose of the statement of cash flows is to evaluate the decisions made by the board of directors.
• B)The purpose of the statement of cash flows is to determine a company's ability to pay dividends to stockholders and interest and principle to its creditors.
• C)The purpose of the statement of cash flows is to help predict the decisions of its managers.
• D)The purpose of the statement of cash flows is to report the earnings per share