Which of the following would NOT appear in the operating activities section of a cash flow statement prepared under the direct method?
A) cash receipts from customers
B) cash paid for income taxes
C) gain on sale of equipment
D) cash paid to employees

Question

Quizplus · Accepted Answer

Gain on sale of equipment is not an operating activity but an investing activity, and thus would not appear in the operating activities section of a cash flow statement prepared under the direct method.

Which of the Following Would NOT Appear in the Operating