The Indirect Method for Preparation of the Operating Activities Section

question 1

Multiple Choice

The indirect method for preparation of the operating activities section of the statement of cash flows involves adjustments

• A)For income statement items involving operating activities that do not affect cash inflows or outflows
• B)To eliminate gains and losses resulting from investing and financing activities
• C)For changes in noncash current assets and current liabilities
• D)For income statement items involving operating activities that do not affect cash inflows or outflows and for changes in noncash current assets and current liabilities
• E)All of these

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Turquoise

A blue-to-green mineral that's often used as a gemstone in jewelry and decorative items.

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A unit of volume used in the United States customary and British imperial systems, used mainly for measuring liquids.

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A formal or informal meal taken in the middle of the day, typically involving a variety of foods.

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A professional cook, often the head of a kitchen in a restaurant or hotel.