Examlex
Which of the following sections of the statement of cash flows includes activities that affect current assets and current liabilities on the balance sheet? (Assume the indirect method is used.)
Raw Materials
Basic materials used in the production process before being converted into finished products.
Direct Labor-Hours
The aggregate working hours of workers directly participating in creating products.
Cash Collections
The process of gathering all received cash and cash equivalents, including payments from customers and other sources.
Direct Labor Cost
The compensation given to workers who are directly engaged in manufacturing products or providing services.
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