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Craig Corporation's Reported Profit for 2013 Is Less Than Its

Question 65

Multiple Choice

Craig Corporation's reported profit for 2013 is less than its net cash from operating activities. One reason for this could be:


A) The sale of machinery at a loss in 2013
B) An increase in inventory levels during 2013
C) The sale of investments at a gain in 2013
D) An error in the preparation of the statement of cash flows; profit for the year should be greater than or equal to net cash from operating activities.

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