Final answer:
The statement is true (a); the statement of cash flows is designed to summarize the transactions that cause changes in cash position during a particular period, breaking down cash movements into operating, investing, and financing activities.
Step-by-step explanation:
The statement you have mentioned is true. The purpose of the statement of cash flows is indeed to summarize the transactions that caused cash to change during a specific accounting period. This financial statement is one of the key components of a company's financial reporting - along with the balance sheet and income statement - and provides valuable insights into a company's operational, financing, and investing activities.
In simpler terms, it explains how much cash is generated and used by a business, offering a detailed breakdown of cash movements as they pertain to operating activities, investment in or disposal of assets, and any changes in loans or issued stock for the company.