Listed below are the three major financial statements and some of the ways in which they are used by investors, creditors and others.
__________________________Use _______________________ Financial Statement
a. Aids in understanding the differences between ................. 1. Balance Sheet
net income and cash flow. ............................................. 2. Income Statement
b. Helps to assess a company's ability to ............................ 3. Statement of Cash Flows
produce future cash flows.
c. Assists in judging a company's ability to meets its obligations.
d. Helps in estimating the need for external financing.
Required:
Match each financial statement with its use. (Each use may be related to more than one financial statement, and financial statements may be used more than one time.)