a. b. - In determining net cash provided by operating activities it is incorrect to eliminate noncash revenues from net income eliminate noncash expenses from net income Include the issuance of the company's bonds for cash. convert accrual based net income to a cash basis. d. - The information in a statement of cash flows will not help investors to assess the entity's ability to: 8. generate future cash flows. b. obtain favorable borrowing terms at a bank pay dividends. d. pay its obligations when they become due - In the Ulen Company, net income is $65,000. If accounts receivable increased $35,000 and accounts payable decreased $10,000, net cash provided by operating activities using the Indirect method is: a. $20,000 b. $40,000 G $90,000 d. $110,000 a. b. C. - Under the indirect method, when accounts receivable decrease during the period, to convert net income to net cash provided by operating activities, the decrease in accounts receivable must be added to net income revenues on a cash basis are less than revenues on an accrual basis. to convert net income to net cash provided by operating activities, the decrease in accounts receivable must be subtracted from net income. revenues on an accrual basis are greater than revenues on a cash basis. d. - Which is an example of a cash flow from a rating activity? 3. Payment of cash to lenders for interest b. Receipt of cash from the sale of capital stock c. Payment of cash dividends to the company's stock holders d. None of the above -. Which is an example of a cash flow from an investing activity? a. Receipt of cash from the issuance of hands b. Payment of cash to repurchase outstanding capak c Receipt of cash from the sale of equipment d. Payment of cash to suppliers for inventory - Cash dividends paid to stockholders accided the statement of cash flows ac 1. operating activities b. investing activities c. a combination of (a) and (h). d. financing activities - Which is an example of a cash flow from a financing activity? .. Receipt of cash from sale of land b. Issuance of debt for cash c. Purchase of equipment for cash d. None of the above - Which of the following is incorrect about the statement of cash flows? 1. The direct method may be used to report cash pro vided by operations b. The statement shows the cash provided (used) for three categories of activity. The operating section is the last section of the statement d. The indirect method may be used to report cash pro- vided by operations