Wilson Couses the Indirect Method to Determine Its Cash Flow from from Operations.During

question 123

Multiple Choice

Wilson Co.uses the indirect method to determine its cash flow from operations.During the course of the year,Wilson's Accounts Receivable increased by $28,000 and its Accounts Payable decreased by $14,000.As a result of these two items,the net addition (or subtraction) to convert net income to cash flow from operations equals:

• A)$14,000.
• B)($14,000).
• C)$42,000.
• D)($42,000).

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Definitions:

Pre-incorporation Subscription

An agreement by an investor to purchase shares in a corporation that is yet to be formed, contingent upon the actual incorporation of the company.

Revoked

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Single Person

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