Regarding the Use of a Spreadsheet for the Preparation of the Statement

question 16

Multiple Choice

Regarding the use of a spreadsheet for the preparation of the statement of cash flows, which of the following statements is true?

• A) The T-account approach works well for all companies.
• B) The statement of cash flows cannot be prepared directly from the spreadsheet because additional information is needed.
• C) The spreadsheet is needed when companies face complex situations.
• D) The spreadsheet can only be used if the indirect method for operating activities is also used.

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Definitions:

Contextual

Relating to or depending on the context or surrounding environment in which something exists or occurs.

Cross-cultural

Relating to, involving, or comparing two or more different cultures or cultural areas.

Perceptual Abilities

The capacity to interpret or give meaning to different types of sensory information, such as visual or auditory inputs.

Body Maturation

The physical and hormonal process of growth and development that leads to the attainment of sexual maturity and adult stature.