Assume that the Romanus Company uses the indirect method to depict cash flows.Indicate where, if at all, income taxes paid would be reported on the statement of cash flows.
A)Operating activities section.
B)Investing activities section.
C)Financing activities section.
D)Does not represent a cash flow.

Question

Quizplus · Accepted Answer

Income taxes paid are reported in the operating activities section of the cash flow statement when using the indirect method.

Assume That the Romanus Company Uses the Indirect Method to Depict