3. When computing the net cash provided by operating activities using the indirect approach on the statement of cash flows, which item below would be added to net income.

A) Gain on the sale of an asset.

B) Increase in prepaid expenses.

C) Depreciation expenses.

D) Increase in accounts receivable.

6) The contribution income statement highlights ________.

A) gross margin

B) the segregation of costs into period costs and inventoriable costs

C) different product lines

D) variable and fixed costs