Which Method of Preparing the Operating Activities Section of a Statement

question 164

Multiple Choice

Which method of preparing the operating activities section of a statement of cash flows adjusts net income to remove the effects of deferrals and accruals for revenues and expenses?

• A) direct method
• B) indirect method
• C) balance sheet method
• D) retained earnings method

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An unpleasant or undesirable occurrence that may trigger negative responses or behavior.

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