Which of the Following Transactions or Events Should Be Reported

question 50

Multiple Choice

Which of the following transactions or events should be reported as a source of cash from operating activities when using the direct method?

• A)Credit sales.
• B)Cash collections from customers.
• C)Depreciation expense.
• D)Cash received from the sale of a building.
• E)Cash received from the sale of treasury stock.

---

Definitions:

Pupil

The opening in the center of the iris of the eye, through which light enters the eye.

Bright Light

Intense illumination that can affect various biological and psychological processes.

Unconditioned Response

An automatic and natural response that occurs in reaction to a stimulus without the need for prior learning.

Knee-Jerk Response

An automatic or reflexive reaction to a situation or stimulus, without engaging in deeper thought.