The indirect and direct methods use different computations but produce the same amount of net cash provided by operating activities

True

False

Many companies use free cash flow to estimate the amount of cash that would be available for unexpected opportunities

True

False

Daniel Corporation had net income for 2018 of $76,000. Daniel had 9,000 shares of common stock outstanding at the beginning of the year and 21,000 shares of common stock outstanding at the end of the year. There were 9,000 shares of preferred stock outstanding all year. During 2018, Daniel declared and paid preferred dividends of $22,000. On December 31, 2018, the market price of Daniel's common stock is $49.00 per share and the market price of its preferred stock is $73.00 per share. What is Daniel's pricelearnings ratio at December 31, 2018? (Round any intermediate calculations and your final answer to the nearest cent.) e 2^ O A. 20.28 OB, 1361 O C. 13.54 O D. 14.41 ela,2 ear ice n27 Wisconsin, Inc. owed one of its creditors $350,000, but it did not have enough cash to repay the debt. Following lengthy negotiations, the parties agreed that Wisconsin, Inc. would issue 50,000 shares of common stock to settle the debt. On the statement of cash flows, this transaction is shown in the O A. investing activities section O B. operating activities section O C. non-cash investing and financing activities section D. financing activities section The financing activities section of a statement prepared using the direct method includes changes in O A. Accounts Payable O B. Long-term Notes Payable O C. Accounts Receivable O D. Merchandise Inventory