The following items were reported on the balance sheets and income statement for the Flying Mullet Company: How would the change in accounts receivable be reported in the operating activities section of the statement of cash flows under the indirect method?
A) As an addition to sales
B) As a deduction from sales
C) As an addition to net income
D) As a deduction from net income

Question

The following items were reported on the balance sheets and income statement for the Flying Mullet Company:  How would the change in accounts receivable be reported in the operating activities section of the statement of cash flows under the indirect method?
A) As an addition to sales 
B) As a deduction from sales 
C) As an addition to net income 
D) As a deduction from net income

Quizplus · Accepted Answer

The Answer of The following items were reported on the balance sheets and income statement for the Flying Mullet Company:  How would the change in accounts receivable be reported in the operating activities section of the statement of cash flows under the indirect method?
A) As an addition to sales 
B) As a deduction from sales 
C) As an addition to net income 
D) As a deduction from net income

The Following Items Were Reported on the Balance Sheets and Income