When using the indirect method of completing the cash flows from operating activities section, what is the
Fantastic news! We've Found the answer you've been seeking!
Question:
When using the indirect method of completing the cash flows from operating activities section, what is the proper treatment for a decrease in the inventory account?
A. Deduct the increase from net income
B. Add the increase to net income
C. Add the increase to cash collections from customers
D. Deduct the increase to cash payment to suppliers
Related Book For
Understanding Financial Accounting
ISBN: 9781119406921
2nd Canadian Edition
Authors: Christopher D. Burnley
Posted Date: