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Answer the following true or false

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Reference no: EM131041452

Question 1. 1. There is only one GAAP approved method of preparing and presenting a statement of cash flows.

True

False

Question 2. 2. Depending on which method is used to prepare the statement of cash flows the resulting end figure in cash flow from operating activities will be different between the two methods.

True

False

Question 3. 3. When preparing the cash flow from operating activities section of the statement of cash flows under the indirect method the starting point is net income.

True

False

Question 4. 4. Upon completion the statement of cash flows ending cash balance will be equal to the beginning cash balance of the prior period listed on the balance sheet.

True

False

Question 5. 5. The statement of cash flows prepared under either method will provide an investor with all the information they should need to make an informed investment decision

True

False

Reference no: EM131041452

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