How would you know if a statement of cash flows had been prepared using the...
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How would you know if a statement of cash flows had been prepared using the direct or the indirect method? Group of answer choices The direct method starts with cash flow from operating activities and adds and subtracts adjustments to obtain net income. The indirect method begins with net income and adds and subtracts adjustments to obtain cash flow from operating activities. Depreciation will be subtracted from net income. The direct method adjusts for deferrals and accruals.
How would you know if a statement of cash flows had been prepared using the direct or the indirect method?
Group of answer choices
The direct method starts with cash flow from operating activities and adds and subtracts adjustments to obtain net income.
The indirect method begins with net income and adds and subtracts adjustments to obtain cash flow from operating activities.
Depreciation will be subtracted from net income.
The direct method adjusts for deferrals and accruals.
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