Which of the Following Is Not an Adjustment When Arriving

question 98

Multiple Choice

Which of the following is not an adjustment when arriving at net cash flow from operating activities under the indirect method?

• A) Noncash expenses, such as depreciation expense
• B) Gains and losses on the sale of long-term assets
• C) Changes in a company's long-term assets
• D) Changes in noncash current assets and current liability accounts

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Definitions:

Throughput

The amount of data moved successfully from one place to another in a given time frame, often used to measure the performance of communication systems.

Fiber-optic

Pertaining to the technology that uses thin flexible fibers of glass or other transparent solids to transmit light signals for telecommunications or computing.

UTP

Unshielded Twisted Pair, a type of cable that is widely used for telecommunications and network connections without the need for shielding from interference.

WAN

A Wide Area Network (WAN) is a telecommunications network designed for computer networking, covering vast geographic regions.