The Net Income Reported on the Income Statement for the Current

question 161

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

---

Definitions:

Social Identity

The part of a person’s self-concept that is based on his or her identification with a nation, religious or political group, occupation, or other social affiliation.

Self-Concept

An individual's perception of themselves, including beliefs about one's own abilities, appearance, and personality.

Bystander Apathy

A psychological phenomenon where individuals are less likely to offer help to a victim when other people are present.

Diffusion of Responsibility

A socio-psychological phenomenon whereby a person is less likely to take responsibility for action or inaction when others are present.