Consider How Each of the Transactions Listed Below Affect Net

question 69

Multiple Choice

Consider how each of the transactions listed below affect net income reported on the income statement and the net cash flows from operating activities reported on the statement of cash flows.Which transaction(s) would affect the income statement in a different period from the statement of cash flows?

• A)Recognized depreciation expense on equipment.
• B)Incurred operating expenses on account.
• C)Paid interest that was accrued in a prior year.
• D)All of these answer choices would affect the income statement in a different period from the statement of cash flows.

---

Definitions:

Primary Occupation

The main job or profession through which an individual gains the majority of their income or spends the most working hours.

Inherent Factors

Characteristics or attributes that naturally exist within a person, object, or situation from the beginning.

Flexible and Innovative

The ability to adapt to changes and introduce new ideas or procedures effectively.

Management Expertise

The specialized knowledge and skills required to effectively organize, direct, and control business operations.