Which of the Following Would Not Appear on a Statement

question 123

Multiple Choice

Which of the following would not appear on a statement of cash flows prepared using the direct method?

• A)Money received from customers
• B)Payments made for interest
• C)Net Income
• D)Salaries and wages paid to employees

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Definitions:

Cost Of Goods Sold

Financial expenditures directly linked to the production of goods sold by a business, involving materials and labor.

Pro Forma Statements

Financial statements prepared to predict the financial position of a company under certain hypothetical scenarios or planning for future operations.

Total Cash Flows

The sum of all cash receipts and disbursements within a given period, including operating, investing, and financing activities.

Proposed Project

A structured series of related activities scheduled for completion within a set period, while staying within defined budgetary and other restrictions.