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The statement of cash flows is a blend of the income statement and the balance sheet. True or false ?

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Question added by Deleted user
Date Posted: 2016/09/08
Aslam Khan
by Aslam Khan , Senior Accounts Officer , Pakistan Software Export Board

Yes, in both methods (direct and indirect) cash flow statement is combination of balance sheet and income statement

Deleted user
by Deleted user

Yes it's true .Net income is first adjusted for noncash income and expense items to yield cash profits

, Then, further adjusted for cash generated and used by balance sheet

transactions to yield cash flows from operations, as well as investing and financing

activities.

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