Which of the Following Statements Are False When Using the Indirect

question 121

Multiple Choice

Which of the following statements are false when using the indirect method?

• A)A loss on the sale of equipment is added to net income in calculating cash provided by operating activities.
• B)An increase in accounts receivable during a period is deducted from net income in calculating cash provided by operating activities.
• C)An increase in accounts payable during a period is added to net income in calculating cash provided by operating activities.
• D)A decrease in accumulated depreciation during a period is added to net income in calculating cash provided by operating activities.

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Definitions:

Dieting

The practice of eating food in a regulated manner to achieve or maintain a specific weight or health goal.

Body Weight

A measurement of an individual's mass, often used as an indicator of health in relation to height.

Food-Deprived Countries

Nations suffering from high levels of food insecurity, where access to sufficiently nutritious food is limited or inconsistent, leading to undernourishment or starvation.

Adoptive Siblings

Children who become siblings through the process of adoption, not by biological relation.