All of the Following Statements Related to Reporting Cash Flows

question 1

Multiple Choice

All of the following statements related to reporting cash flows from operating activities under U.S. GAAP and IFRS are True except:

• A) The definition of cash and cash equivalents is similar for U.S. GAAP and IFRS.
• B) U.S. GAAP requires cash flows from interest revenue and dividend revenue be classified as operating activities.
• C) IFRS permits classification of interest revenue and dividend revenue under operating or investing activities.
• D) U. S. GAAP requires cash outflows for interest expense to be classified as financing activities.
• E) IFRS permits classification of interest expense under operating or financing activities.

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Definitions:

Observational Learning

The process of learning behaviors, skills, or attitudes by watching and imitating the actions of others.

Vicariously

Living through the experiences of another person via imagination or sympathy.

Reinforcement

In behaviorism, a consequence applied that strengthens an organism's future behavior whenever that behavior is preceded by a specific antecedent stimulus.

Self-reinforcement

The process of rewarding oneself to encourage a pattern of behavior, enhancing the likelihood of repeating desirable behaviors.