When Using the Direct Method to Determine Operating Cash Flows

question 94

Multiple Choice

When using the direct method to determine operating cash flows, how is the purchase of equipment for cash shown on the Statement of Cash Flows?

• A)operating activity
• B)investing activity
• C)financing activity
• D)noncash investing and financing activity
• E)not reported on the statement of cash flows

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Definitions:

Religious Faith

The belief in spiritual doctrines and practices not based on physical or empirical evidence.

Faith Communities

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A sense of belonging to a particular ethnic group, including the cultural traditions, shared history, language, and social practices of that group.

Afterlife

A concept referring to an existence or realm that individuals or their spirits go to after death, which varies widely among different religions, cultures, and beliefs.