Which Statement Is Incorrect About the Cash Flow Statement

question 107

Multiple Choice

Which statement is incorrect about the cash flow statement?

• A)The cash flow statement can be prepared using the direct method.
• B)The cash flow statement can be prepared using the indirect method.
• C)The cash flow statement provides information on the economic performance of the company.
• D)The cash flow statement shows the change in cash and cash equivalents over the year.

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Definitions:

Situational Attributions

Explanations of behavior that attribute actions to external, situational factors rather than internal traits.

Social Norm

Unwritten rules or expectations for behavior within a society or group, guiding members on how to act in typical situations.

Entrapment

A legal defense theory claiming that agents of the government induced a person to commit a crime they would not have otherwise committed.

Authority

In social psychology, it refers to the power or right to give orders, make decisions, and enforce obedience.