The reporting of net cash provided or used by operating activities that lists the major items of operating cash receipts, such as receipts from customers, and subtracts the major items of operating cash disbursements, such as cash paid for merchandise, is referred to as the: Direct method of reporting net cash provided or used by operating activities. Cash basis of accounting. Indirect method of reporting net cash provided or used by operating activities. Net method of reporting cash flows from operating activities. Classified statement of cash flows. Alvez company reports net income of $305,000 for the year ended December 31. It also 21