Under the direct method of cash flow, which is not included in the cash flow statement?

Question

Quizplus · Accepted Answer

Changes in amortization are not included in the cash flow statement under the direct method. The direct method focuses on actual cash inflows and outflows during the period and does not consider non-cash transactions such as amortization. Changes in accounts receivable, accounts payable, and inventories are included in the cash flow statement under the direct method.

Under the Direct Method of Cash Flow, Which Is Not