To financial analyst the relevant measure of inflows and outflows is: Select one: A. Cash based...

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To financial analyst the relevant measure of inflows and outflows is: Select one: A. Cash based...

To financial analyst the relevant measure of inflows and outflows is:

Select one:

A. Cash based

B. Fiscal year based

C. Accrual based

business finance

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Answer 1

Answer #1

The correct option is C. Accrual based

The reason is that accrual based financials gives a true and fair picture of the business's real obligations and it also include those transactions which are committed but not yet completed. That's why all the analyst prefer to choose accrual based financials informations.

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Answer 2

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