Using the Indirect Method of Preparing the Statement of Cash

question 135

Multiple Choice

Using the indirect method of preparing the statement of cash flows,which of the following would be added to net income?

• A)depletion expense
• B)an increase in accounts receivable
• C)a decrease in accounts payable
• D)gain on the sale of property

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Definitions:

Joint Physical Custody

A legal custody arrangement where the child resides with both parents separately for certain periods, sharing physical custody.

Depression

A mental health disorder characterized by persistently depressed mood or loss of interest in activities, causing significant impairment in daily life.

Alcohol Abuse

The harmful or hazardous use of alcohol, leading to health issues or social, work, or legal problems.

Preexisting Problems

Issues or difficulties that were present before a current event or situation arose.