Distinguish among the three types of activities reported in, Financial Accounting

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Distinguish among the three types of activities reported in

Book: Managerial Accounting 6th ed, Kieso K Weygandt

Chapter 13 - Statement of Cash Flows

1. Distinguish among the three types of activities reported in the statement of cash flows.

2. What are the major sources (inflows) of cash in a statement of cash flows?

3. What are the major uses (outflows) of cash in a statement of cash flows?

4. Why is it necessary to convert accrual-based net income to cash-basis income when preparing a statement of cash flows?

5. Why is the statement of cash flows useful?

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