Which of the following is subtracted from income when using the indirect method to determine cash flows from operations?     A decrease in accounts payable     Depreciation     Cash dividends declared and distributed     Amounts due from customers at year-end     None of these choices is correct.

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter15: Statement Of Cash Flows
Section: Chapter Questions
Problem 19E
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QUESTION 5

  1. Which of the following is subtracted from income when using the indirect method to determine cash flows from operations?

       

    A decrease in accounts payable

       

    Depreciation

       

    Cash dividends declared and distributed

       

    Amounts due from customers at year-end

       

    None of these choices is correct.

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