The only difference between the statement of cash flows under the indirect method and the direct method is in the reporting of cash flows from operating activities.

Question

Quizplus · Accepted Answer

The primary difference between the indirect and direct methods lies in how cash flows from operating activities are reported; the indirect method adjusts net income for changes in balance sheet accounts, while the direct method lists actual cash receipts and payments.

The Only Difference Between the Statement of Cash Flows Under