The total net cash flows from operating activities differ between the direct and indirect methods.

Question

Quizplus · Accepted Answer

The total net cash flows from operating activities can be the same or different under both the direct and indirect methods, as both methods involve different approaches to calculating cash flows from different activities. However, the final result of net cash flows from operating activities should be the same in the statement of cash flows, regardless of the method used.

The Total Net Cash Flows from Operating Activities Differ Between