Which of the Following Would Be Subtracted from Net Income

question 76

Multiple Choice

Which of the following would be subtracted from net income when determining cash flows from operating activities under the indirect method?

• A)An increase in accounts payable.
• B)Depreciation expense.
• C)A decrease in prepaid insurance.
• D)A gain on the sale of a depreciable asset.

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Definitions:

Mental Health

A state of well-being in which an individual realizes their own abilities, can cope with the normal stresses of life, can work productively, and is able to make contributions to their community.

Auto Accident

A collision involving one or more vehicles, often resulting in injury or damage.

Murder Victim

An individual who has lost their life due to an act of murder, where another individual deliberately causes their death.

Committing Suicide

The act of intentionally causing one's own death.