The decision whether to use the direct or indirect method on the statement of cash flows is relevant with respect to
A)operating activities only.
B)investing activities only.
C)financial activities only.
D)all activities.

Question

Quizplus · Accepted Answer

The choice between the direct and indirect method affects only the presentation of cash flows from operating activities. Investing and financing activities are presented the same way under both methods.

The Decision Whether to Use the Direct or Indirect Method