Which of the following does not factor in to the calculation of cash flows from operating activities under the indirect method?

Question 12 options:

A)	A decrease in the balance of accounts receivable.

B)	Depreciation expense.

C)	The loss on the sale of the equipment.

D)	Share-based compensation expense.

E)	The total proceeds from the sale of equipment.

Which of the following represents a logical observation?

Question 13 options:

A)	An increase in net income is typically the result of increases in revenues accompanied by greater increases in cost of goods sold and operating expenses.

B)	An increase in revenues will typically be accompanied by an increase in cost of goods sold. The goal is to have the revenue increase outpace the increase in cost of goods sold.

C)	Managements' goal should be to develop strategies focused on improving nonoperating returns instead of strategies focused on improving operating income.

D)	Management teams should focus primarily on revenue growth, since revenue growth will always result in increased net income.

Which of the following assets would be classified as current assets on the balance sheet?

Question 14 options:

A)	Inventory, goodwill, deferred revenue.

B)	Accounts receivable; prepaid expenses; property, plant & equipment.

C)	Cash, accounts payable, deferred income taxes.

D)	Cash equivalents, inventory, prepaid expenses.