Which of the Following Would Be Subtracted from Net Income

question 190

Multiple Choice

Which of the following would be subtracted from net income using the indirect method?

• A) Depreciation expense
• B) An increase in accounts receivable
• C) An increase in accounts payable
• D) A decrease in prepaid expenses

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Definitions:

Avoidance-avoidance

A decision-making process involving a choice between two equally undesirable outcomes or options.

Approach-approach

A conflict arising from having to choose between two desirable outcomes.

Double approach-avoidance

A psychological conflict that involves being torn between two goals, each possessing both appealing and negative aspects.

Control

The power to influence or direct people's behavior or the course of events.