In Determining Cash Flows from Operating Activities (Indirect Method), Adjustments

question 112

Multiple Choice

In determining cash flows from operating activities (indirect method) , adjustments to net income should not include:

• A) An addition for depreciation expense.
• B) An addition for bond discount amortization.
• C) An addition for a gain on sale of equipment.
• D) An addition for patent amortization.

---

Definitions:

Revealing Authority

The act of disclosing or making known the power or right to give orders, make decisions, and enforce obedience.

Autonomy

The capacity to make an informed, uncoerced decision independently or govern oneself.

Back Channel Diplomacy

A form of diplomacy that utilizes unofficial channels or secret negotiations to discreetly manage conflicts or discuss issues between states or organizations, often to prepare the ground for formal negotiations or to explore potential compromises without public scrutiny.

Manage Uncertainties

The practice of identifying, assessing, and developing strategies to minimize the impact of unpredictability on objectives.