Use the selected data from the consolidated statements of cash flows for Vancouver Corporation for the years ended December 31, 2016 and 2015, to answer the questions that follow.
REQUIRED:
A What method does Vancouver use to calculate the net cash provided by operating activities?
B In 2016, why are depreciation and amortization expenses added back to net income in the operating activities section of the statement of cash flows?

Question

Use the selected data from the consolidated statements of cash flows for Vancouver Corporation for the years ended December 31, 2016 and 2015, to answer the questions that follow.
  REQUIRED:
A What method does Vancouver use to calculate the net cash provided by operating activities?
B In 2016, why are depreciation and amortization expenses added back to net income in the operating activities section of the statement of cash flows?

Quizplus · Accepted Answer

The Answer of Use the selected data from the consolidated statements of cash flows for Vancouver Corporation for the years ended December 31, 2016 and 2015, to answer the questions that follow.
  REQUIRED:
A What method does Vancouver use to calculate the net cash provided by operating activities?
B In 2016, why are depreciation and amortization expenses added back to net income in the operating activities section of the statement of cash flows?

Use the Selected Data from the Consolidated Statements of Cash