Under the Indirect Method, Expenses That Do Not Affect Cash

question 6

True/False

Under the indirect method, expenses that do not affect cash are added to net income in the operating activities section of the statement of cash flows.

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Definitions:

Harriet Tubman

An American abolitionist and political activist who escaped slavery and subsequently made some thirteen missions to rescue approximately seventy enslaved people using the network of antislavery activists and safe houses known as the Underground Railroad.

Underground Railroad

A network of secret routes and safe houses used in the United States during the early to mid-19th century to help enslaved African Americans escape to free states and Canada.

Runaway Slaves

Enslaved African Americans who escaped from their enslavers in an attempt to gain freedom, often facing great risk.

Civil War

A war between citizens of the same country, fighting for different ideals, governance, or territories.