The indirect method for preparing the operating activities section of the statement of cash flows begins with the amount of sales revenue reported on the income statement.
Answer the following statement true (T) or false (F)
False
The indirect method starts with net income.
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Which of the following is not true?
a. All corporations must issue common stock. b. Common shareholders have a claim on the assets of a firm after creditors and preferred shareholders have received amounts promised to them. c. Frequently, corporations grant voting rights only to common shares, giving their holders the right to elect members of the board of directors and to decide certain broad corporate policies (spelled out in the stock contract). d. Some firms issue more than one class of common shares, with each class granted different voting rights. e. Firms generally issue preferred shares, both at the time of initial incorporation and in subsequent years, for amounts greater than par (or stated) value.
Which of the following statements about workplace diversity is true?
a. The diversity of the workforce is evident in many ways, including values, work habits and political views. b. Globalization has lead to greater diversity in the work place. c. All of the above statements are true. d. Because the workforce is more diverse, accounting information plays a larger role in managing operations.
"Gary, a year ago I didn't believe that your setting up a performance competition among your division managers was going to be productive. I was wrong. All five divisions, including mine, turned in record profits. Now my staff are working incredibly well with staff from other divisions." Gary knows than an important part of building a cohesive and high-performing team is to
A. present a challenge from outside the team. B. use an autocratic style in leading the team. C. deemphasize social facilitation. D. build large teams. E. encourage groupthink among the division managers.
A company's general ledger shows a cash balance of $2,380. Comparing the company's cash records with the monthly bank statement reveals several additional cash transactions such as deposits outstanding of $1,760, note collected by the bank on the company's behalf of $1,000, and interest earned of $20. The company also finds an error by the bank of an additional deposit of $100. Calculate the correct balance of cash.
What will be an ideal response?