When the Indirect Method Is Used to Determine Net Cash

Multiple Choice

When the indirect method is used to determine net cash provided by (used in) operating activities,adding an increase in Interest Payable to net income eliminates the effect of recording expenses that:

A) increased net income,but did not impact cash.
B) decreased net income,but did not impact cash.
C) increased net income and increased cash flow.
D) decreased net income and decreased cash flow.