While preparing a statement of cash flows using the indirect method, an increase in current assets is added to net income to arrive at net cash provided by operating activities. True False

Question

21-08-2019
Business

contestada

While preparing a statement of cash flows using the indirect method, an increase in current assets is added to net income to arrive at net cash provided by operating activities. True False

Respuesta :

Otras preguntas

What number should be substituted for the question mark to balance the equation and why is that the correct number? 2C4H10 +?O2 → 8CO2 + 10H2O + heat A. Th

El camarero era muy malo. Él ________ el postre primero y después el plato principal.

Describe how air pressure is exerted on objects.

Read the statement. I don’t like peanut butter, so I won’t eat lunch. Is this argument sound or unsound? sound unsound

The temperature of water in a certain lake on a day in October can be determined by using the model y=15.2-0.537x where x is the number of feet down from the su

HELP PLEASE!!!!! Explain how high unemployment and limited job opportunities in Russia have impacted Russias younger generation

If a ball is thrown straight up into the air, what is its acceleration as it moves upward? What is its acceleration when it reaches its highest point and is sto

Jimmy gets a discount of 35% for a pair of sneakers whose original price is $70. He also gets a discount of 25% on a shirt whose original price is $30. How much

Which kingdoms are included in both Linnaean and Whittaker systems of classification? a. protists, fungi, plant, and animal kingdoms b. plant and animal kingdo

Dryomys Dryomys · Answer 1 · 2019-08-27T06:52:04+02:00

Answer: False.

Explanation:

The statement is false because we know that an increase in the current assets will be deducted from the net income to arrive at the net cash flow. It is because of the outflow of cash.

Whereas, on the other hand, a decrease in the current assets means that there is an inflow of cash, therefore, this will be added to the net income to arrive at the net cash flow by operating activities.

While preparing a statement of cash flows using the indirect​ method, an increase in current assets is added to net income to arrive at net cash provided by operating activities. True False

Respuesta :

Otras preguntas

While preparing a statement of cash flows using the indirect method, an increase in current assets is added to net income to arrive at net cash provided by operating activities. True False