Which of the following would appear on a statement of cash flows prepared using the direct method?

Question

Quizplus · Accepted Answer

Collections from customers would appear on a statement of cash flows prepared using the direct method, as it represents cash inflows from operating activities. Amortization expense and loss on sale of equipment would appear on the income statement and do not directly impact cash flows. Net income would appear on the statement of cash flows prepared using the indirect method, but not the direct method.

Which of the Following Would Appear on a Statement of Cash