Wellington Company Uses the Direct Method to Prepare Its Statement

question 7

Multiple Choice

Wellington Company uses the direct method to prepare its statement of cash flows. Refer to the following financial statement information for the year ended December 31, 2015: On Wellington's statement of cash flows, using the direct method, what amount will be shown for total net cash flow from operating activities? Assume Accrued Liabilities relate to Other Operating Expense.

• A)$(58,000)
• B)$42,000
• C)$(42,000)
• D)$58,000

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