Asked by
Julianna Allen
on Oct 15, 2024
Verified
The direct method separately lists each major item of operating cash receipts and cash payments.
Cash Receipts
Money received during a period, especially in relation to business transactions.
Cash Payments
Transactions in which payment for goods, services, or obligations is made in cash at the time of the transaction or shortly thereafter.
- Develop an understanding of the variance between direct and indirect formats in the reporting of cash flows from operating activities.
Verified Answer
DC
Learning Objectives
- Develop an understanding of the variance between direct and indirect formats in the reporting of cash flows from operating activities.
Related questions
The Indirect Method Separately Lists Each Major Item of Operating ...
When Preparing the Operating Activities Section of the Statement of ...
When Preparing the Operating Activities Section of the Statement of ...
Under the Direct Method, as an Adjustment to Operating Expenses ...
For a Company Using the Direct Method, Both the Operating ...