In a statement of cash flows using indirect method, an increase in inventory is A. deducted from Net Income B. reported as an outflow of cash C. added to net income D. no effect on cash flows
In a statement of cash flows using indirect method, an increase in inventory is A. deducted from Net Income B. reported as an outflow of cash C. added to net income D. no effect on cash flows
Financial Accounting: The Impact on Decision Makers
10th Edition
ISBN:9781305654174
Author:Gary A. Porter, Curtis L. Norton
Publisher:Gary A. Porter, Curtis L. Norton
Chapter5: Inventories And Cost Of Goods Sold
Section: Chapter Questions
Problem 5.19E
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Question
In a statement of
inventory is
A. deducted from Net Income
B. reported as an outflow of cash
C. added to net income
D. no effect on cash flows
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