In Determining Cash Flows from Operations Under the Indirect Method

question 89

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 ____ credit changes in operating working capital accounts, such as accounts receivable, inventories, or accounts payable.

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

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Definitions:

Telecommuting

A work arrangement where employees do not commute to a central place of work, instead working via electronic communications from a remote location, often their home.

Open Systems

A perspective in organizational theory that views organizations as entities that interact with their environments to acquire resources and adapt to changes.

Intellectual Capital

Intellectual capital is the intangible value of a company's knowledge, experience, and intellectual property, contributing to its competitive advantage.

Structural Capital

The knowledge, processes, databases, and intellectual property that an organization possesses, which together contribute to its value and productivity.