correct answer

Date: 1160 S 19 TRUE/FALSE. Write T if the statement is true and F if the statement is false, 1) The statement of cash flows reflects cash flows on a particular date 2) The statement of cash flows reports why cash increased or decreased during the period. 3) Investors and management use the statement of cash flows to evaluate a firm's profitability 4) For purposes of the statement of cash flows. "cash includes cash on hand, cash in the bank and cash equivalents. 5) Cash equivalents include highly liquid short-term investments that can be readily converted into cash. 5) - 6) Operating activities include activities that affect long-term liabilities and owners' equity. 6) 7) The investing activities section of the statement of cash flows is the most important section. 8) The financing activities section of the statement of cash flows includes paying dividends and paying off loans 9) Investing activities include activities that affect the long-term asset section of the balance sheet. 9) - 10) 10) Financing activities include activities that affect current assets and liabilities on the balance sheet