Use the information above to answer the question below.The company uses the indirect method in preparing the statement of cash flows.What is the amount of depreciation expense that will be reported in the operating activities section of the statement?
A) $4,000
B) $11,000
C) $7,000
D) $10,000

Question

Quizplus · Accepted Answer

Depreciation expense is added back to net income in the operating activities section of the statement of cash flows when using the indirect method.

Use the Information Above to Answer the Question Below