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The Statement of Cash Flows: Purpose, Format & Examples

Instructions:

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question 1 of 3

What is the statement of cash flows?

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1. The statement of cash flows is broken down into how many activities?

2. What is the section of the statement of cash flows that includes activities that occur during the normal day-to-day operations of a company?

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About This Quiz & Worksheet

This quiz and attached worksheet will help gauge your understanding of a statement of cash flows. Topics you will need to know to pass this quiz include sections and functions of this report.

Quiz & Worksheet Goals

These assessments ask you to differentiate between key terms and phrases, including:

  • Equity
  • Investing activities
  • Financing activities
  • Operating activities
  • Assets

Skills Practiced

  • Defining key concepts - ensure that you can accurately describe a statement of cash flows
  • Critical thinking - apply relevant concepts to examine the purpose of a statement of cash flows in a different light
  • Information recall - access the knowledge you've gained to identify the number of sections in a statement of cash flows

Additional Learning

The lesson titled The Statement of Cash Flows: Purpose, Format & Examples can provide you with more detailed information. This lesson explains:

  • Net income
  • Cash inflow and cash outflow
  • How to analyze changes in finances between accounting periods
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