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How Is the Amortization of Patents Reported in a Statement

Question 42

Multiple Choice

How is the amortization of patents reported in a statement of cash flows that is prepared using the indirect method?


A) A decrease in cash flows from investing activities.
B) An increase in cash flows from investing activities.
C) A deduction from net income in arriving at cash flows from operations.
D) An addition to net income in arriving at cash flows from operations.

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