Consider the following items:
(a) decrease in accounts receivable
(b) issuance of comm...
Consider the following items:
(a) decrease in accounts receivable
(b) issuance of common stock
(c) increase in interest receivable
(d) purchase of land
(e) decrease in accounts payable
(f) gain on the sale of equipment
(g) depreciation expense
(h) payment of dividends
(i) decrease in utilities payable
(j) increase in inventory
how many of these items would be added to net income when using the indirect method to prepare the operating activities section of the statement of cash flows?
a) 2
b) 1
c) 4
d) 3
Answers: 3
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