Indirect method is more detailed as it shows the operating cash receipts and cash payments and is thus more time-consuming and costly.
BT: Knowledge

Name: Indirect method is more detailed as it shows the operating cash receipts and cash payments and is thus more time-consuming and costly. BT: Knowledge
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Question

Quizplus · Accepted Answer

The indirect method does not show operating cash receipts and payments separately; it adjusts net income for changes in balance sheet accounts to calculate cash flow from operating activities.

Indirect Method Is More Detailed as It Shows the Operating