If the Indirect Method Is Used,which of the Following Is

question 52

Multiple Choice

If the indirect method is used,which of the following is a proper adjustment to net income to arrive at net cash flows from operating activities?

• A)deducting a decrease in Prepaid Expenses.
• B)deducting an increase in Salaries Payable.
• C)adding an increase in Accounts Receivable.
• D)adding a decrease in Inventory.

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Definitions:

Intravenous Solution

A liquid containing vitamins, minerals, or drugs administered directly into a vein to provide essential nutrients or medication.

Diffuse Edema

Swelling that occurs throughout the body due to widespread accumulation of excess fluid in the tissues.

Interstitial Space

The microscopic, fluid-filled areas between tissue cells; important in the exchange of nutrients and waste between blood and tissue cells.

Neck Veins Distended

A condition where the veins in the neck are visibly swollen or enlarged, often indicating cardiovascular problems.