Which of the following appears on a statement of cash flows prepared using the direct method?
A) adjustments to net income
B) cash payments for salaries
C) adjustments for gains and losses on sale of property
D) increase/decrease in current assets

Question

Quizplus · Accepted Answer

The direct method of preparing a statement of cash flows involves listing all the major operating cash receipts and payments during the period, including cash payments for salaries, which directly reflects the cash outflow for employee compensation.

Which of the Following Appears on a Statement of Cash