The Advantages of the Direct Method Include All of the Following

question 75

Multiple Choice

The advantages of the direct method include all of the following except:

• A)It allows for more detailed analysis of operating cash flows.
• B)It provides more information than the indirect method to relate cash inflows and outflows.
• C)It allows for more reliable prediction of future cash flows.
• D)Comparisons between companies are facilitated since most U.S.companies use the direct method.

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Definitions:

PLC Input

An electrical or signal input to a Programmable Logic Controller from sensors or devices, used to influence PLC programs.

Constant Voltage Transformer

A type of transformer that provides consistent voltage output to its load, regardless of changes in input voltage or load conditions.

Line Voltage

The voltage present in the electrical power distribution system, typically referring to the mains electricity supply voltage.

Grounding Connection

An electrical connection made to the earth or another large conducting body to establish a reference potential for circuitry.