In the statement of cash flows depreciation charges are


Which of the following statement is correct?

a. In the statement of cash flows, depreciation charges are reported as a use of cash.

b. In the statement of cash flows, a decrease in inventories is reported as a use of cash.

c. In the statement of cash flows, a decrease in accounts receivable is reported as a use of cash.

d. In the statement of cash flows, a decrease in accounts payable is reported as a use of cash.

e. Dividends do not show up in the statement of cash flows because dividends are considered to be a financing activity, not an operating activity.

Request for Solution File

Ask an Expert for Answer!!
Financial Management: In the statement of cash flows depreciation charges are
Reference No:- TGS02371282

Expected delivery within 24 Hours