Gilmore Company Uses the Direct Method to Prepare Its Statement

question 89

Multiple Choice

Gilmore Company uses the direct method to prepare its statement of cash flows.Refer to the following financial statement information for the year ended December 31,2018: Use the direct method,to compute the net cash provided by operating activities.(Accrued Liabilities relate to other operating expense. )

• A)$(54,200)
• B)$38,200
• C)$(38,200)
• D)$54,200

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Definitions:

Total Reserves

The amount of funds that a bank or financial institution has in its vault or with the central bank, available to meet any withdrawal or payment demands.

Debit Cards

Payment cards that deduct money directly from a consumer's checking account to pay for a purchase.

PIN Number

A personal identification number that securely authenticates a user's identity, often used in bank transactions.

Credit Cards

Financial instruments issued by banks and financial institutions that allow cardholders to borrow funds up to a specified limit to purchase goods and services.