In Determining Net Cash Flows from Operating Activities, a Decrease

question 56

Multiple Choice

In determining net cash flows from operating activities, a decrease in salaries payable during a period

• A)means that income on an accrual basis is equal to income on a cash basis.
• B)must be added to net income under the indirect method.
• C)creates a cash outflow to pay for salaries that were previously accrued.
• D)creates a cash inflow from employees.

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Definitions:

Computerized Calendaring

The use of digital systems to schedule and manage appointments, deadlines, and court dates for legal professionals.

Attorney-Client Privilege

A legal principle that ensures communications between an attorney and their client are confidential and cannot be disclosed without the client's consent.

Texas

A large U.S. state known for its diverse landscapes, significant historical events, and as a major economic and cultural center.

Client Confidentiality

The ethical obligation of professionals to keep information related to their clients secure and private.