In a general sense, "cash flow" can be said to equal
A) operating income less taxes plus depreciation.
B) operating income less taxes.
C) operating income before depreciation and taxes plus depreciation.
D) operating income after taxes minus depreciation.
A) operating income less taxes plus depreciation.
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Which of the following is NOT an example of an economic event?
a. Ship goods b. Receive goods c. Get employee time d. Prepare cash disbursements voucher
Cost behavior is the way prices are adjusted due to changes in costs
Indicate whether the statement is true or false
Cash flows from operating activities include
a. selling goods and providing services. b. acquiring buildings and equipment. c. payment of dividends. d. retiring long-term debt. e. issuing stocks and bonds.
A question asked by stockholders is, "How much gross profit did the company make?" What financial statement would have the "gross profit" indicated as a separate line item?
A) The balance sheet because retained earnings represents gross profits B) The statement of cash flows as cash inflows and outflows represents gross profits C) The multi-step income statement D) The single-step income statement