Ask Question
1 July, 05:00

Using the indirect method (statement of cash flows), a gain from the sale of equipment would: A) be subtracted from net income B) be added to net income C) have no adjustment made to net income D) be added to the investing section of the statement of cash flows

+1
Answers (1)
  1. 1 July, 05:15
    0
    The correct answer is A) be subtracted from net income

    Explanation:

    The indirect method involves the adjustment of net income with changes in balance sheet accounts to arrive at the amount of cash generated by operating activities.

    It depends on the account if it is added or subtracted to net income.

    A gain from the sale of equipment is subtracted from net income
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Using the indirect method (statement of cash flows), a gain from the sale of equipment would: A) be subtracted from net income B) be added ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers