Which Statement Is False Regarding the Preparation of the Indirect

question 60

Multiple Choice

Which statement is false regarding the preparation of the indirect method of the statement of cash flows? 

• A) An increase in merchandise inventory is subtracted from net income.
• B) Depreciation expense is added to net income.
• C) An increase in accounts receivable is added to net income.
• D) An increase in accounts payable is added to net income.

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Definitions:

Time Management Matrix

A framework for prioritizing tasks based on urgency and importance, often used to optimize productivity.

Time Management

The process of organizing and planning how to divide one's time between various activities efficiently.

Last Minute Demands

Requests or requirements imposed unexpectedly close to a deadline, causing urgency or stress.

Time Management Matrix

A framework for prioritizing tasks based on urgency and importance, helping individuals and teams organize their activities effectively.