A Company Reported Net Income for the Current Year

question 72

Multiple Choice

A company reported net income for the current year. Which of the following business transactions would cause its cash from operating activities to be higher than its net income?

• A)Cash dividends were paid to stockholders during the year.
• B)Depreciation expense was recorded for the year.
• C)A bank loan was repaid during the year.
• D)Equipment was purchased for cash during the year.

---

Definitions:

Eric Church

A country music singer-songwriter known for his blend of country, rock, and blues, and hits such as "Springsteen" and "Drink in My Hand."

Social Cognitive Perspective

A theoretical framework that emphasizes the role of cognitive processes in understanding and responding to the social world.

Mental Processes

Internal cognitive operations that include thinking, remembering, learning, and using language.

Schema-Based

Relating to or involving schemas, which are cognitive frameworks or concepts that help organize and interpret information.