Question : Which of the following statements about the statement of cash flow is not correct?

Option 1: Cash flow statement is part of financial statement

Option 2: Cash flow statement is prepared on cash basis of accounts

Option 3: Cash flow statement is substitute of cash account

Option 4: Cash flow reports are generally prepared at the end of the accounting year

Question : The cash flow statement begins with the :

Option 1: Cash Flow from Investing activity

Option 2: Cash flow from Financing activity

Option 3: Cash flow from Operating activity

Option 4: None of the above

Question : The cash flow statement begins with :

Option 1: Cash Flow from Operating Activities

Option 2: Cash Flow from Financing Activities

Option 3: Cash Flow from Investing Activities

Option 4: None of the above

Question : Which of the following statements is incorrect?

Option 1: Cash Flow Statement is not a substitute for Income Statement

Option 2: Cash Flow Statement shows only the inflows and outflows of Cash

Option 3: Income Statement shows both cash and non-cash items of revenue nature

Option 4: None of the above

Question :

Which of the following statements states the difference between a cash flow statement and a cash budget?

Option 1:

The cash flow statement shows the movement of cash whereas the cash budget shows no cash movement

Option 2:

The cash flow statement is a part of the cash budget

Option 3:

Both 1 & 2

Option 4:

The cash flow statement shows the cash movement of the historical period whereas the cash budget shows the cash movement of the future period