Firms with significant net income always have significant cash generated from operating activities.

True

False

Question $8$

$1$ pts

When using the indirect method for the statement of cash flows, depreciation expense is added to net income to obtain cash provided by operating activities.

True

False

Question $9$

$1$ pts

When using the indirect method, losses related to investing activities are adjusted by adding them to net income in the operating activities section of the statement of cash flows.

True

False