Assume the Direct Method Is Used to Compute Net Cash

question 16

Multiple Choice

Assume the direct method is used to compute net cash flows from operating activities.For this item extracted from the financial statements-Decrease in Accounts Receivable-indicate the effect on cash receipts from sales by choosing one of the following:

• A)Add to Sales to arrive at cash receipts from sales.
• B)Subtract from Sales to arrive at cash receipts from sales.
• C)Not used to adjust Sales to arrive at cash receipts from sales.

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Definitions:

Accountability

The obligation of an individual or organization to account for their activities, accept responsibility for them, and disclose the results in a transparent manner.

Planned-Change Process

A systematic approach to making deliberate and strategic alterations or improvements within an organization or community.

Primary Goals

These are the main or most important objectives or aims that an individual, group, or organization seeks to achieve.

Worker-Client Relationship

The professional bond that forms between social workers and their clients, characterized by trust, mutual respect, and confidentiality.