The Reporting of Net Cash Provided or Used by Operating

question 105

Multiple Choice

The reporting of net cash provided or used by operating activities that lists the major items of operating cash receipts, such as receipts from customers, and subtracts the major items of operating cash disbursements, such as cash paid for merchandise, is referred to as the:

• A) Direct method of reporting net cash provided or used by operating activities.
• B) Cash basis of accounting.
• C) Classified statement of cash flows.
• D) Indirect method of reporting net cash provided or used by operating activities.
• E) Net method of reporting cash flows from operating activities.

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Definitions:

Adduct

To move a limb or other body part toward the midline of the body or toward another part of the body.

Middle

The point or position at an equal distance from the sides, edges, or ends of something.

Centimeter

A metric unit of length equal to one hundredth of a meter.

Degrees

A measure for angles or temperature; academically, a rank conferred by a college or university indicating the completion of a course of study.