Question : The objectives of Cash Flow Statement are:
Option 1: To determine the sources (receipts) of Cash and Cash Equivalents under Operating, Investing and Financing Activities of the enterprise.
Option 2: To determine applications (payments) of Cash and Cash Equivalents under Operating, Investing and Financing Activities of the enterprise.
Option 3: To determine net change in Cash and Cash Equivalents.
Option 4: All of the above
Correct Answer: All of the above
Solution : Answer = All of the above
To determine the sources, application and net changes of cash and cash equivalents under operating, investing and financing activities of the firm are the objective of the cash flow statement.
Hence, the correct option is 4.
