The Net Income Reported on the Income Statement for the Current

question 128

Multiple Choice

The net income reported on the income statement for the current year was $250,000.  Depreciation recorded on fixed assets and amortization of patents for the year were $40,000, and $9,000, respectively.  Balances of current asset and current liability accounts at the end and at the beginning of the year are as follows: What is the amount of cash flows from operating activities reported on the statement of cash flows prepared by the indirect method?

• A) $271,000
• B) $279,000
• C) $327,000
• D) $256,000

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Definitions:

Psychologists

Professionals who study mental processes and behavior through research and application of psychological theories.

Prescribe Medications

The act of a licensed medical professional authorizing the use of specific drugs or treatments for a patient to treat or prevent illness.

Electroconvulsive Therapy

A medical treatment involving the induction of seizures in patients under general anesthesia, primarily used for severe depression and certain psychiatric conditions.

Severe Depression

A mental health disorder characterized by deeply entrenched feelings of sadness, hopelessness, and a lack of interest in life, significantly impairing daily functioning.