Which of the Following Would Not Be Presented in the Cash

question 44

Multiple Choice

Which of the following would not be presented in the cash flows from operating activities section of the statement of cash flows when the direct method is used?

• A)Dividends paid.
• B)Dividends received.
• C)Neither dividends paid nor dividends received would be shown.
• D)Both dividends paid and dividends received would be shown.

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Definitions:

Balance Sheet

A financial statement that displays a company's financial position at a specific point in time, including assets, liabilities, and equity.

Adjusted Trial Balance

A financial statement prepared after adjusting entries are made, ensuring the total debits equal total credits.

Financial Statement Column(s)

Sections or divisions in financial statements used to separate and categorize financial data into meaningful groups for analysis, such as assets, liabilities, equity, revenue, and expenses.

Net Income

The net income of a business following the subtraction of all costs and taxes from the overall income.