Using the Indirect Method, Which of the Following Would Not

question 64

Multiple Choice

Using the indirect method, 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:

American Put Option

A type of options contract that grants the holder the right, but not the obligation, to sell a specified quantity of an underlying asset at a predetermined price before or at the contract's expiration.

Call Option

A financial contract giving the buyer the right, but not the obligation, to purchase a stock, bond, commodity, or other asset at a specified price within a specific time period.

Expiration

The end of the life of a financial instrument or contract, after which it ceases to be valid.

Call Option

A financial contract that gives the buyer the right, but not the obligation, to buy a stock, bond, commodity, or other asset at a specified price within a specific time period.