Which of the following describes the cash flow statement?

The cash flow statement is essential for understanding a company's liquidity and cash management. It specifically focuses on the inflow and outflow of cash, detailing how much cash is generated or spent in a given period. This statement is divided into three main sections: operating activities, investing activities, and financing activities.

By showing the cash generated from regular operations, investments, and financing, the cash flow statement provides insight into the company's financial health and its ability to meet obligations, fund operations, and support growth. This makes option C the most accurate description of what a cash flow statement entails.

In contrast, reports that detail assets and liabilities focus on the balance sheet, while summaries of income and expenses typically refer to the income statement. Additionally, reports on equity deal with shareholder equity, which is different from cash flow analysis. Thus, option C stands out as the precise description of the cash flow statement.