Examlex
Knuckle-like process at the end of a bone:
Indirect Approach
A method used in cash flow statements where net income is adjusted for non-cash transactions and changes in working capital to calculate cash flow from operating activities.
Noncash Charges
Expenses reported on an income statement that do not involve actual cash flow, such as depreciation, amortization, and stock-based compensation.
Noncash Credits
Transactions that increase a company's assets or decrease liabilities without the direct movement of cash.
Indirect Method
A technique used in cash flow statements to adjust net income for non-cash transactions, deferrals, and accruals to compute operating cash flow.
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