Which of the Following Would Not Be Needed to Determine

question 78

Multiple Choice

Which of the following would not be needed to determine net cash provided by operating activities?

• A) Depreciation expense
• B) Change in accounts receivable
• C) Payment of cash dividends
• D) Change in prepaid expenses

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Definitions:

Allocative Efficiency

A state of resource allocation where goods and services are distributed according to consumer preferences, with each good produced up to the point where the last unit provides a level of utility equal to its cost of production.

Productive Efficiency

A situation where goods and services are produced at the lowest possible cost and resources are utilized optimally.

Cost Minimization

A strategy employed by businesses to reduce production or operational costs to the lowest possible level without sacrificing quality or output.

Marginal Cost

The cost implicated in generating an added unit of a product or service.