When Using the Indirect Method,losses Related to Investing Activities Are

question 20

True/False

When using the indirect method,losses related to investing activities are adjusted by adding them to net income in the operating activities section of the statement of cash flows.

---

Definitions:

Backlog

The accumulation of work or orders that have been promised or planned but not yet completed or delivered.

Ledger Account

A ledger account is a record used to store and summarize the financial transactions pertaining to a particular aspect of a business, such as assets, liabilities, equity, revenues, or expenses.

Petty Cash

A small amount of cash kept on hand for making immediate payments for miscellaneous small expenses.

Cash on Hand

The amount of liquid currency that a person or business has available for immediate use.