Examlex
Which of the following statements is true?
Fixed Asset
Long-term tangible property that a company owns and uses in its operations to generate income, such as buildings, machinery, and equipment.
Operating Activities
Activities that relate directly to the primary operations of the company, such as production, distribution, marketing, and selling of goods and services.
Indirect Method
A way of reporting cash flows from operating activities in the cash flow statement where net income is adjusted for changes in balance sheet accounts to calculate the cash from operations.
Accounts Receivable
Represents money owed to a company by customers for products or services sold on credit.
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