Virginia Company uses the indirect method to prepare the statement of cash flows. Refer to the following section of the comparative balance sheet: Virginia Company Comparative Balance Sheet December 31, 2024 and 2023 2024 2023 Accounts Payable Accrued Liabilities Long-term Notes Payable Total Liabilities $4,000 2,000 84,000 $90,000 $6,000 1,000 90,000 $97,000 Increase/(Decrease) $(2,000) 1,000 (6,000) $(7,000) How will the change in Accounts Payable be shown on the statement of cash flows? as a deduction from investing cash flows as an addition to operating cash flows as a deduction from Net Income in the operating activities section as an addition to Net Income in the operating activities section

Virginia Company uses the indirect method to prepare the statement of cash flows. Refer to the following section of the comparative balance sheet: Virginia Company Comparative Balance Sheet December 31, 2024 and 2023 2024 2023 Accounts Payable Accrued Liabilities Long-term Notes Payable Total Liabilities $4,000 2,000 84,000 $90,000 $6,000 1,000 90,000 $97,000 Increase/(Decrease) $(2,000) 1,000 (6,000) $(7,000) How will the change in Accounts Payable be shown on the statement of cash flows? as a deduction from investing cash flows as an addition to operating cash flows as a deduction from Net Income in the operating activities section as an addition to Net Income in the operating activities section

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter15: Statement Of Cash Flows

Section: Chapter Questions

Problem 3PA

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