1 Under the indirect method, decreases in non-cash current assets are added to profit. TRUE FAlSE 2 Information to prepare the statement of cash flows usually comes from (a) comparative balance sheets, (b) current income statements, and (c) additional information. TRUE FALSE 3 Use the indirect method to calculate the net cash provided (or used) by operating activities based on the following information: A machine with a cost of $190,000 and accumulated depreciation of $95,000 was sold for $50,000 cash The amount that should be reported as a source of cash under cash flows from investing activities is 5 Dispositions of non-current assets a) Have no impact on cash flows b) Are investing activities and can involve cash inflows c) Can involve cash inflows d) Have no impact on cash flows and are investing activities e) Are investing activities