When using the indirect method to complete the cash flows from operating activities section, what is the proper treatment for an increase in the accounts receivable balance?
A. Deduct the increase from net income
B. Add the increase to cash collections from customers
C. Add the increase to cash payments to suppliers
D. Add the increase to net income
Answer: A
You might also like to view...
Which of the following is one of the strategic characteristics to consider when deciding how supplier relationships should be structured on the continuum between vertical integration (do not outsource) and arm's length relationships (outsource)?
A. Coordination B. Investment C. Cost D. Control E. Location
List the four categories of nonstore retailing and briefly explain each
What will be an ideal response?
Papillon, a popular retailer of chic women's clothing, segments its market according to consumer lifestyles. Papillon most likely uses ________ segmentation for segmenting its market
A) geographic B) psychographic C) benefit D) age and life-cycle E) occasion
Identify the nine areas an entrepreneur should consider in choosing a legal form of organization.
What will be an ideal response?