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Statement of Cash Flows – which of the following is incorrect?
A.The section for operating cash flows removes non-operating items from net income and converts the items reported on the income statement from the accrual basis of accounting to cash.
B.The section for financing activities reports cash inflows/outflows for debt activity, share issuance/buy-backs, and dividends.
C.The sum of operating cash flows, investing cash flows, and financing cash flows, for the period will represent the total assets for the company on the reporting date.
D.The section for investing activities reports cash inflows/outflows for capital expenditures, security investments, company acquisitions, and intangible assets.
E.Supplemental information reports the exchange of significant items that did not involve cash and reports the amount of income taxes and interest paid.
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