Which of the Following Should Be Deducted from Net Income

question 13

Multiple Choice

Which of the following should be deducted from net income in calculating net cash flow from operating activities using the indirect method?

• A) depreciation expense
• B) gain on sale of land
• C) a loss on the sale of equipment
• D) dividends declared and paid

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Definitions:

Cross-sectional Studies

Research that analyzes data from a population, or a representative subset, at a specific point in time to examine relationships between variables.

Cohort Effects

Differences among people that stem from being born at different times or periods, leading to distinctive formative experiences.

Intelligence Tests

Standardized tools designed to measure a person's cognitive abilities and intellectual potential.

Testing Bias

A flaw in the design, administration, or interpretation of tests that results in systematically unfair outcomes or assessments for certain groups of people.