Accounts Receivable from Sales to Customers Amounted to $40,000 and $32,000

question 18

Multiple Choice

Accounts receivable from sales to customers amounted to $40,000 and $32,000 at the beginning and end of the year, respectively. Income reported on the income statement for the year was $110,000. Exclusive of the effect of other adjustments, the net cash flows from operating activities to be reported on the statement of cash flows using the indirect method is

• A) $118,000
• B) $110,000
• C) $102,000
• D) $150,000

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Definitions:

Milgram's Studies

A series of psychological experiments conducted by Stanley Milgram, which measured the willingness of participants to obey an authority figure who instructed them to perform acts conflicting with their personal conscience.

Group Cohesiveness

Refers to the bond that holds a group of people together, often resulting in high levels of participation and loyalty within the group.

Bystander Effect

A behavioral pattern observed within social psychology where the probability of a person assisting a victim decreases when there are more witnesses around.

Unambiguous

Clear and precise with only one interpretation, leaving no doubt or confusion.