Walker Corp

question 15

Multiple Choice

Walker Corp.uses the indirect method to prepare the statement of cash flows.Refer to the following section of the comparative balance sheet:
- How will the change in inventory be shown on the statement of cash flows?

• A)positive cash flow under the operating activities section
• B)negative cash flow under the operating activities section
• C)positive cash flow under the financing activities section
• D)negative cash flow under the investing activities section

---

Definitions:

Covenant Not to Compete

A formal agreement where one party commits to refraining from engaging in or initiating a comparable business or occupation in rivalry with another party.

Illegal Agreement

A contract or arrangement that is forbidden by law because it involves actions or terms that violate legal statutes.

Competing Business

A company that offers similar products or services as another business within the same market or industry.

Reformation

The legal process of modifying a contract or document to accurately reflect the true intentions of the parties involved.