Which method of presentation for operating activities shows the entity's major operating gross cash receipts and gross cash payments?
A) Direct method
B) Indirect method

Question

Quizplus · Accepted Answer

The direct method of presenting operating activities in the cash flow statement shows the entity's major operating gross cash receipts and gross cash payments, providing a clearer picture of how cash is generated and used in operations.

Which Method of Presentation for Operating Activities Shows the Entity's