Which of the Following Is Not a Current Reporting Requirement

question 75

Multiple Choice

Which of the following is not a current reporting requirement for a statement that reports changes in cash over a period of time?

• A) This statement must classify cash flows into three categories: operating, investing, and financing activities.
• B) Cash equivalents must be combined with cash in preparing this statement.
• C) Working capital may be used as a substitute for cash in preparing this statement.
• D) The operating activities section can be prepared using either the direct method or the indirect method.

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Definitions:

Environmental Protection

Efforts and policies aimed at conserving the natural environment and preventing further degradation due to human activity.

Sharks

A group of elasmobranch fish characterized by a cartilaginous skeleton, five to seven gill slits on the sides of the head, and pectoral fins that are not fused to the head.

People Per Year

A measurement or statistic that represents the number of individuals affected by or involved in a certain event or scenario on an annual basis.

Support Trees

Structures or physical supports used in agriculture and horticulture to support plants, vines, and trees to ensure proper growth and development.