a) What is the difference between Accounting Income and Cash Flow? Which do we use when making decisions? b) Here are the simplified finonoial tet

Q: Which method use net income and which use cashflow.

A: Statement of cash flows:   It is one of the financial statement that shows the cash and cash…

Q: Which approach makes use of net income and which way makes use of cashflow

A: The cash flow statement is the direct way, and the indirect way.

Q: What are three concerns   the financial manager should be aware of when analyzing a balance sheet, &…

A: a)  When analyzing a balance sheet, the financial manager should be aware of three concerns: 1.…

Q: Differentiate between net cash flow and accounting profit

A: There are 2 elective standards accessible for discovering future monetary advantages of a…

Q: When preparing the statement of cash flows using the indirect method, where the payment of dividends…

A: Small and large businesses pay dividends as a way of returning cash to their shareholders.

Q: What is the difference between accounting income and cash flow?

A: Basis of accounting: It can be defined as the methodology that is used by the business to record the…

Q: Why are the income statement and cash flow statement attractive to investors when it comes to…

A: Introduction: It took place entirely inside a business, including the management, investing, and…

Q: In contrast with cash basis accounting, what is accrual accounting? Explain

A: The question is based on the concept of Financial Accounting.

Q: Which category of the statement of cash flow is considered as the most important? Why? Operating…

A: Cash flow statement: It is a statement which reports the cash inflows and outflows of a business…

Q: describe accounting methods (choices and estimates) that could be used to manage earnings,cash fl…

A: there are several accounting choices that can be made which will allow company mangers to give the…

Q: In such case, net income is used, whereas cashflow is used

A: Cash flow statement: It is a financial statement that illustrates a company's cash and cash…

Q: Why is the accrual basis of accounting generally preferred over the cash basis?

A: Accrual accounting aims to record the impacts of accounting events in the period when such events…

Q: What advantage do you see in compiling financial data into standardized statements like the Income…

A: Standardized statements also acknowledged as financial statements, these statements such as balance…

Q: Which is not undertaken by financial accounting? O a. Income statement O b. Customer data O C.…

A: Financial accounting deals with the economic transactions. In this, various statements are to be…

Q: 1) If you were given the option to prepare a statement either Income statement, Balance sheet…

A: I prefer to prepare cash flow statement.

Q: Which of the following is NOT a financial statement?Choose one answer.a. Income statement b. Balance…

A: Financial statements: These refer to the formal or official records of the activities of the…

Q: Explain Net Income versus Cash Flow?

A: Definition: Statement of cash flows: This statement reports all the cash transactions which are…

Q: . Explain why the income statement is a change statement? Also, provide a brief explanation of the…

A: An income statement is one of three major financial statements in a business or organization. An…

Q: What is the difference between income statement and statement of cash flows.

A: Cash flow statements are the statements that determine the inflow and outflow of cash from three…

Q: What does the term "cash flows" mean? Explain why the statement of cash flows offers relevant…

A: For investors to make informed judgments, a firm's financial statements are created by management to…

Q: What is accrual vs cash basis accounting. Explain with examples?

A: Under accrual basis of accounting, transactions are recorded & recognized as and when they…

Q: at is the main difference between basic and completed accounting system? 2- What is the main…

A: What is the main difference between basic accounting system and complete accounting system What is…

Q: How does the income statement affect the balance sheet?

A: Balance Sheet: It is also termed as the Statement of Financial Position. Balance Sheet represents a…

Q: True or False?    The cash basis of accounting is a system in which revenues are recorded when…

A: PLEASE GIVE A LIKE, your response matters  Answer: correct option is "False"

Q: in accountin

A: The cash is an important and most liquid asset for the business. The cash flow statement is one of…

Q: What are two common modeling methods that relate to the cash flow statement and balance sheet?

A: Two common modeling methods are direct methods as well as indirect methods. The direct method used…

Q: Contrast the aims of the income statement, the balance sheet, and the cash flow statement

A: Financial Statement: A financial statement is a statement that indicates the firm's, company's, or…

Q: Why is it necessary to convert profits (as determined in the income Statement) to cash nows?

A: Definition of Profit: Profit is also known as financial gain. It is the difference between revenue…

Q: Differentiate the cash basis of accounting from the accrual basis of accounting.

A: Difference between cash basis and accrual basis: Cash basis accounting:  Under this method, income…

Q: Discuss the difference in Accrual and Cash Basis for accounting.

A: In this question, we are required to mention the difference between cash basis and accrual basis of…

Q: at is accural vs cash basis accounting. Explain with example.

A: Cash Accounting: A form of accounting in which receipts are reported during the period in which they…

Q: accrual vs cash basis accounting? Explain with e

A: Accounting is a medium of communication, like any language that we use. For example, two people can…

Q: What are the differences between cash flows from operating activities and the elements of an income…

A: Definition:   Statement of cash flows: This statement reports all the cash transactions which are…

Q: To produce a cash flow statement, why do you need an income statement, a balance sheet, and extra…

A: This question explains about a balance sheet, and extra information

Q: What are some adjustments that need to be made to convert cash basis to accrual basis accounting?

A: Step 1 Under an accrual method of accounting all, the transactions or events are recorded on a…

Q: Differentiate between net income, EPS, EBITDA,net cash flow, NOPAT, free cash flow, MVA, and EVA.…

A: The given terms are the financial metrics which defines the accounting and economic profit at…

Q: Differentiate between net income and net cash flow?

A: Net Income is the difference between revenue and expenses recognized in an accounting period.Net…

Q: So, should I be using accrual rather than cash-basis accounting?

A: Introduction : The cash and accrual basis of accounting are two accounting procedures that are now…