If the Direct Method Is Used to Report Cash Flows

question 110

True/False

If the direct method is used to report cash flows from operating activities in the body of the statement of cash flows, a reconciliation of net income to net cash flows from operating activities also is required.

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Definitions:

Explicit Memory

A type of long-term memory related to consciously recalling facts and experiences.

Implicit Memory

A type of long-term memory that does not require conscious thought to retrieve, often involving skills and routine procedures that are performed automatically.

Prospective Memory

The facet of memory tasked with remembering to undertake planned actions or bringing to mind intended future activities.

Procedural Memory

A type of long-term memory for executing tasks and skills, involving how to do things, and typically acquired through repetition and practice.