Which of the Following Financial Statements Would Likely Be the Most

Multiple Choice

Which of the following financial statements would likely be the most effective in conveying information to users that will help them to predict the long-term future cash flows of the company?

A) A classified balance sheet prepared under the accrual basis of accounting
B) A proforma cash flow statement showing expected cash flows for the next year
C) A multi-step income statement prepared under the accrual basis of accounting
D) A cash flow statement showing actual cash flows for the past two year