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There are two methods for presenting operating cash flow: direct method and indirect method. What...

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Accounting

There are two methods for presenting operating cash flow: direct method and indirect method. What is the argument for direct method?
a. Direct method clearly shows the reasons for differences between net income and operating cash flows.
b. Direct method mirrors forecasting approach that begins with forecast of income, then derives cash flows.
c. Direct method provides information on the specific sources of operating cash receipts and payments.
d. Direct method begins with net income and adjusts to operating cash flows
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