A private NFP's statement of cash flows presents cash from operating activities using the indirect method. In the reconciliation of the change in net assets to cash from operating activities, which item is subtracted?

Question

Quizplus · Accepted Answer

Contributions of nonfinancial services are subtracted because they do not involve cash inflows or outflows and need to be adjusted out of the net assets to reconcile to cash from operating activities.

A Private NFP's Statement of Cash Flows Presents Cash from Operating