In Determining Cash Flows from Operations Under the Indirect Method

Multiple Choice

In determining cash flows from operations under the indirect method, the adjustments to convert net income to cash flow from operations generally involve ____ the amount by which a revenue exceeds the related cash receipt for the period (such as equity method earnings exceeding dividends) .

A) adding
B) subtracting
C) multiplying
D) dividing
E) cannot be determined from the information provided