Starting with Net Income and Adjusting It for Items That

question 117

Multiple Choice

Starting with net income and adjusting it for items that affected reported net income but which did not affect cash is called the

• A) direct method.
• B) indirect method.
• C) working capital method.
• D) cost-benefit method.

---

Definitions:

Reflective Analysis

An introspective examination of one's own thoughts, feelings, and actions, often to improve understanding or performance.

Planning

The act of determining strategies or outlining steps and actions to achieve specific goals or objectives.

Leader

An individual who influences and guides others towards achieving a common goal, often demonstrating qualities such as vision, communication, and adaptability.

Standards

Established criteria or benchmarks that define the quality and performance expectations for products, services, or behaviors.