Which of the Following Is Not Reported as an Adjustment

question 7

Multiple Choice

Which of the following is not reported as an adjustment to net income when using the indirect method of computing net cash flows from operating activities?

• A) Cash dividends paid.
• B) A change in accounts receivable.
• C) Depreciation.
• D) A change in a prepaid expense.

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Definitions:

Novel

A long, fictional narrative in prose form, exploring character, action, and sometimes setting, distinguishing it from shorter stories or novellas.

Slaves

Individuals forced into servitude, deprived of personal freedom, and compelled to perform labor or services against their will under threat of punishment.

Oregon Treaty

An agreement made in 1846 between the United States and Great Britain that set the boundary between Canadian and American territories in the Pacific Northwest.

Great Britain

A sovereign country located off the northwestern coast of mainland Europe, comprising England, Scotland, and Wales.