Refer to Apples statement of cash flows in Appendix A. (a) Which method is used to compute

Question:

Refer to Apple’s statement of cash flows in Appendix A.

(a) Which method is used to compute its net cash provided by operating activities?

(b) Its balance sheet shows a decrease in accounts receivable from September 26, 2015, to September 24, 2016; why is this decrease in accounts receivable added when computing net cash provided by operating activities for the fiscal year ended September 24, 2016?

Accounts Receivable
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that... Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...

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