A Corporation Uses the Indirect Method for Preparing the Statement

question 69

Multiple Choice

A corporation uses the indirect method for preparing the Statement of Cash Flows. A fixed asset has been sold for $25,000 representing a gain of $4,500. The value in the operating activities section regarding this event would be:

• A) $25,000
• B) ($4,500)
• C) $29,500
• D) $4,500

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Definitions:

Metabolic Pathway

A series of chemical reactions occurring within a cell that leads to the conversion of one substance into another, often resulting in the production of energy or cellular components.

Reactant

A substance that takes part in and undergoes change during a reaction in a chemical process.

Entropy

Measure of disorder or randomness in a system.

Cell

The smallest unit of life that displays all the properties of life; composed of cytoplasm surrounded by a plasma membrane.