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Suppose you are computing net cash flow from operating activities using the indirect method. Use...

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Accounting

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Suppose you are computing net cash flow from operating activities using the indirect method. Use the same income statement and additional information provided in Question 1. a. Within the income statement, identify all the accounts that need to be removed from net income in order to compute net cash flow from operating activities. For each account, write the account name and the adjustment to net income (e.g., +100,100), and briefly explain why the adjustment is needed. b. For each paragraph in the additional information, show how you would adjust net income using the information provided. Write the account involved in the adjustment (e.g., "accounts receivable" for paragraph 1) and the amount of adjustment (e.g., +100,100 ). If a paragraph results in multiple adjustments, write them in separate lines. If no adjustment is needed for a paragraph, write "none" for the description and write "0" for the adjustment. c. Should the amount of net cash flow from operating activities computed using the indirect method be the same as that computed using the direct method? a

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