In Determining Cash Flows from Operations Under the Indirect Method

question 131

Multiple Choice

In determining cash flows from operations under the indirect method, the adjustments to convert net income to cash flow from operations generally involve _____ the amount by which an expense exceeds the related cash expenditure for the period (for depreciation, the entire amount) .

• A)subtracting
• B)multiplying
• C)adding
• D)dividing
• E)cannot be determined from the information provided

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