Final answer:
The purpose of the statement of cash flows is to summarize the transactions that caused cash to change during the period.
Step-by-step explanation:
The purpose of the statement of cash flows is to summarize the transactions that caused cash to change during the period.
The statement of cash flows shows how cash is generated and used by a company, and is divided into three sections: operating activities, investing activities, and financing activities.
For example, if a company received cash from selling products, that would be recorded as a positive change in cash in the operating activities section.