Use the Following Codes to Indicate How the Cash Flow

question 121

Multiple Choice

Use the following codes to indicate how the cash flow effect, if any, of each transaction or event would be reported on a statement of cash flows if the operating activities section is prepared using the indirect method.
-Purchased store equipment for cash.

• A)Operating activity-add to net income
• B)Operating activity-deduct from net income
• C)Inflow from investing activity
• D)Outflow from investing activity
• E)Inflow from financing activity
• F)Outflow from financing activity
• G)Noncash investing and financing activity
• H)Not reported on statement of cash flows

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The process of providing incentives or benefits to employees as recognition for their contributions, achievements, or performance.

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