Question

______ reconciles the opening cash balance with the closing cash balance of a given period on the basis of a net decrease or increase in cash during that period.

Options

• Cash Flow Statement

• Fund Flow Statement

• Both Cash Flow Statement and Fund Flow Statement

• None of these

Answer 1

Cash Flow Statement reconciles the opening cash balance with the closing cash balance of a given period on the basis of a net decrease or increase in cash during that period.

Explanation:

The Cash Flow Statement compares the opening and closing cash balances of a particular period based on the net drop or rises in cash throughout that time.