Which one of the following would be reported in the cash flow from operating activities section of the cash flow statement under the direct method?
A)Increase in taxes payable
B)Interest and dividends received
C)Issuance of common stock
D)Cash payments made on short-term notes

Question

Quizplus · Accepted Answer

Interest and dividends received are classified as operating activities under the direct method on the cash flow statement, reflecting cash inflows from these sources during the reporting period.

Which One of the Following Would Be Reported in the Cash