When Preparing the Statement of Cash Flows Under the Indirect

question 111

Multiple Choice

When preparing the statement of cash flows under the indirect method,an appropriate procedure would be to

• A)add a loss from the sale of a fixed asset.
• B)add an increase in accounts receivable.
• C)subtract depreciation expense.
• D)subtract an increase in accounts payable.
• E)determine cash received from customers.

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