Which of the Following Is a Deduction from Net Income

question 151

Multiple Choice

Which of the following is a deduction from net income when reconciling to cash flow from operating activities?

• A) Amortization of premium on bonds payable
• B) Cash dividend declared and paid
• C) Collection of an account receivable
• D) Bad debt written off (allowance method)

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Definitions:

British North America

Term referring to the British colonies and territories in North America, including Canada, during the period from the 16th century until 1783, when Britain recognized American independence.

Immigrants

People who have moved to a new country with the intention of settling there, often in search of better living conditions, employment, or safety.

Liberties

The absence of constrictive control by governing bodies on an individual’s lifestyle, behaviors, or political perspectives in a societal setting.

Anglicization

The process of adopting English culture, language, or norms, often in the context of colonized societies integrating with or being influenced by English settlers or governance.