When Using the Indirect Method to Prepare the Statement of Cash

question 38

Multiple Choice

When using the indirect method to prepare the statement of cash flows, depreciation should be presented as a(n) :

• A) cash flow from investing activities.
• B) cash flow from financing activities.
• C) deduction from net income.
• D) addition to net income.

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Definitions:

Labor Unions

Organizations formed by workers from related fields that work for the common interest of its members in terms of pay, working hours, working conditions, and other employment rights.

National Urban League

An American civil rights organization that advocates on behalf of African Americans and against racial discrimination in the United States.

Economic Opportunities

The availability of jobs, business ventures, and other activities that can lead to economic improvement and personal financial growth.

Radio Broadcasts

The transmission of audio content through radio waves to the public, used for entertainment, news, and education.