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Landmark Restaurants Reported Net Income of $45

Question 120

Essay

Landmark Restaurants reported net income of $45.9 million during Year 6. Landmark reported depreciation and amortization of plant and equipment of $48.8 million and cash paid for additions to property, plant and equipment of $162.9 million during Year 6.
Required:
Explain where each of these items would be reported and their impact on cash flows on the statement of cash flows.

Correct Answer:

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The net income would be reported as the ...

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