Which of the Following Items Does NOT Appear in the Cash

question 95

Multiple Choice

Which of the following items does NOT appear in the cash flow statement under the direct method?

• A) cash payments to suppliers
• B) cash collections from customers
• C) depreciation expense
• D) cash from the sale of equipment

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Definitions:

Ethics

A branch of philosophy that deals with questions about what is morally right and wrong, good and bad, fair and unfair.

Social Responsibility

The concept that businesses should balance profit-making activities with activities that benefit society; it involves developing businesses with a positive relationship to the society in which they operate.

Fiduciaries

Individuals or organizations that are entrusted to manage assets or wealth on behalf of another party and are required to act in the best interests of the beneficiary.

Duty of Care

The legal obligation to ensure the safety or well-being of others by taking reasonable precautions or actions to avoid acts of negligence.