When Using the Indirect Method, How Is the Decrease in Accounts

question 202

Multiple Choice

When using the indirect method, how is the decrease in accounts payable shown on the statement of cash flows?

• A) Operating activity
• B) Investing activity
• C) Financing activity
• D) Noncash investing and financing activity

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Definitions:

Organisational Commitment

Defined as the loyalty of an individual to the organisation.

Quality of Work Life

A concept that involves the consideration of job satisfaction, safety, and overall environment, aiming to improve employees' work conditions.

Psychological Contract

An unwritten agreement that exists between an employer and their employees, outlining mutual expectations and promises.

Contributions

Efforts, work, or resources provided by an individual or group towards a project or goal, crucial for collective success.