Preparing the statement of cash flows, using the indirect method, involves all of the following except determining the
A) cash provided by operations.
B) cash provided by or used in investing and financing activities.
C) change in cash during the period.
D) cash collections from customers during the period.

Question

Quizplus · Accepted Answer

The preparation of the statement of cash flows using the indirect method involves determining cash provided by operations, cash provided by or used in investing and financing activities, and the change in cash during the period. However, the statement of cash flows does not explicitly require the determination of cash collections from customers during the period.

Preparing the Statement of Cash Flows, Using the Indirect Method