Which of the following would not be needed to determine net cash provided by operating activities?
A) Depreciation expense
B) Change in accounts receivable
C) Payment of cash dividends
D) Change in prepaid expenses

Question

Quizplus · Accepted Answer

Payment of cash dividends would be reported in the financing activities section of the statement of cash flows, not the operating activities section. The other options are all necessary to calculate net cash provided by operating activities. Depreciation expense is a non-cash expense that is added back to net income, while changes in accounts receivable and prepaid expenses represent changes in operating assets that affect cash flows.

Which of the Following Would Not Be Needed to Determine