Which of the Following Statements Is Correct with Respect to the Determination

question 83

Multiple Choice

Which of the following statements is correct with respect to the determination of cash flows from operating activities?

• A)A decrease in inventory is subtracted from net income.
• B)An increase in accounts payable is subtracted from net income.
• C)An increase in inventory is subtracted from net income.
• D)A decrease in accounts payable is added to net income.

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Definitions:

Deskilling Thesis

The theory that technological advancements and changes in work organization lead to a reduction in the skill required to perform certain jobs.

Occupational Hierarchy

The structured arrangement of jobs within an organization or society, ranked according to authority or status.

Service Sector

The segment of the economy that provides services rather than tangible goods, including industries like healthcare, education, and finance.

Official Statistics

Quantitative data produced and published by governmental statistical offices, covering various aspects of the economy, society, and environment.