The Net Income Reported on the Income Statement for the Current

question 40

Multiple Choice

The net income reported on the income statement for the current year was $250,000. Depreciation recorded on fixed assets and amortization of patents for the year were $40,000 and $9,000, respectively. Balances of current asset and current liability accounts at the end and at the beginning of the year are as follows: What is the amount of cash flows from operating activities reported on the statement of cash flows prepared by the indirect method?

• A) $271,000
• B) $279,000
• C) $327,000
• D) $256,000

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Definitions:

Spontaneous Recovery

The reappearance of a previously extinguished conditioned response after a pause.

Continuous Reinforcement

A type of learning in which a behavior is reinforced every time it occurs, leading to rapid learning.

Flooding

A psychological treatment method where individuals are exposed to a vast amount of the fearful stimulus until the fear diminishes.

Programmed Learning

An educational technique involving self-teaching with the use of specially prepared instructional materials and a step-by-step sequence that allows for self-paced learning.