When Computing the Net Cash Provided by Operating Activities Using

question 43

Multiple Choice

When computing the net cash provided by operating activities using the indirect approach on the statement of cash flows, which item below would NOT be added to net income?

• A)Depreciation.
• B)Loss on the sale of an asset.
• C)Decrease in accounts payable.
• D)Decrease in prepaid expenses.

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Definitions:

New Mexico

A state in the southwestern region of the United States, known for its diverse culture and landscapes, including deserts, forests, and historical Native American pueblos.

Spanish Government

The political system of Spain, typically referring to its executive branch, legislative bodies, and judicial processes under a parliamentary constitutional monarchy.

Lucrative Gifts

Items or services given that generate a significant amount of income or profit for the recipient.

Juan De Oñate

A Spanish conquistador, known for his role as a colonizer in the Southwest area of what is now the United States in the late 16th century.