On the statement of cash flows prepared using the direct method, cash paid for income taxes would be income tax expense minus
A) an increase in income taxes payable.
B) a decrease in income taxes payable.
C) beginning income taxes payable.
D) ending income taxes payable.

Question

Quizplus · Accepted Answer

Cash paid for income taxes is calculated as income tax expense minus an increase in income taxes payable, as an increase in payable indicates that not all expenses have been paid in cash.

On the Statement of Cash Flows Prepared Using the Direct