Net cash flow from operating activity is Multiple Choice the same as net income from operations cash generated from activities involved in the day to day operations of the company Cash generated from activities involving purchase and sale of long term investment. Cash generated from activities involving raising funds for the company. question \#5 Indirect method of preparing. Indirect method of preparing statement of cash flows is described as Multiple Choice Reconciling net income to non-cash expenses and adjusting increases and decreases in assets and liabilities to arrive at net cash flow The method in which you directly ask management for information about cash balance The method in which a cash flow spreadsheet is used to prepare summary entries that generate the cash inflow and outflow amounts of all transactions during the year. None of the above. Net cash flow from investing activity is Multiple Choice the net cash outflows and inflows from sale and purchase of common stock. the net cash outflows and inflows from sale and purchase of long term liabilities. the net cash outflows and inflows from sale and purchase of short term assets the net cash outflows and inflows from sale and purchase of long term assets A cash flow statement is Multiple Choice A statement of cash inflows and outflows and is prepared on cash basis. A statement of cash inflows and outflows and is prepared on accrual basis. a statement of Net income and cash inflows and outflows. a statement that reports all the stock holders equity amounts. Cash Basis of Accounting means Multiple Choice keeping track of accrued income and expenses Keeping track of cash inflows and outflows only a different form of accrual accounting None of the above Direct method of preparing statement of cash flows is described as Multiple Choice Reconciling net income to non cash expenses to arrive at net cash flow The method in which you directly ask management for information about cash balance The method in which a cash flow spreadsheet is used to prepare summary entries that generate the cash inflow and outflow amounts of all transactions during the year. None of the above