Consider How Each of the Transactions Listed Below Affect Net

question 69

Multiple Choice

Consider how each of the transactions listed below affect net income reported on the income statement and the net cash flows from operating activities reported on the statement of cash flows.Which transaction(s) would affect the income statement in a different period from the statement of cash flows?

• A)Recognized depreciation expense on equipment.
• B)Incurred operating expenses on account.
• C)Paid interest that was accrued in a prior year.
• D)All of these answer choices would affect the income statement in a different period from the statement of cash flows.

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Definitions:

Cholecystogram

An X-ray exam of the gallbladder, which uses a special dye to highlight abnormalities.

Anteroposterior

Relating to or indicating direction from the front to the back of the body.

Posteroanterior

Pertaining to or involving passage from the back to the front, especially reference to the direction of an X-ray beam.

Lateral

Positioned at or relating to the side.