The indirect method begins with net income,while the direct method considers each of the individual accounts that make up net income.

Name: The indirect method begins with net income,while the direct method considers each of the individual accounts that make up net income.
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The indirect method starts with net income and adjusts for non-cash items, while the direct method goes through each cash receipt and payment during the period to determine cash flows from operating activities.

The Indirect Method Begins with Net Income,while the Direct Method