Solved

Which of the Following Adjustments to Convert Net Income to Net

Question 51

Short Answer

Which of the following adjustments to convert net income to net cash provided by operating activities is correct?  Add to Net Income Deduct from Net Income\begin{array}{lll}&&&&&&&&&&\text { Add to Net Income}&\text { Deduct from Net Income}\\\end{array}
A)  Accounts Receivable  increase  decrease \begin{array}{lll}\text { Accounts Receivable } && \text { increase } &&&& \text { decrease } \\\end{array}
B)  Prepaid Expenses  increase  decrease \begin{array}{lll}\text { Prepaid Expenses } &&& \text { increase } &&&& \text { decrease } \\\end{array}
C)  Inventory  decrease  increase \begin{array}{lll}\text { Inventory } &&&&&& \text { decrease }&&& & \text { increase } \\\end{array}
D)  Taxes Pavable  decrease  increase \begin{array}{lll}\text { Taxes Pavable } &&&& \text { decrease } &&&& \text { increase }\end{array}

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions