In a statement of cash flows,which of the following would increase reported cash flows from operating activities using the direct method?
A) Collection of a note receivable
B) Dividends received from investments
C) Gain on purchase of treasury stock
D) Gain on sale of equipment

Question

Quizplus · Accepted Answer

Dividends received from investments are considered operating cash inflows under the direct method in a statement of cash flows. This is because they represent returns on investments in other entities that are typically part of the company's ongoing operations.

In a Statement of Cash Flows,which of the Following Would