Which of the following is a true statement? Select one: O a. The indirect method reports individual operating cash inflows and cash outflows by activity. ob. The direct method for preparing and reporting operating activities on the statement of cash flows begins with net income and then adjusts it for items necessary to calculate net cash provided (used) by operating activities. c. When using the direct method to prepare and report cash flows from operating activities, depreciation expense is added back to net income. O d. The FASB recommends that the operating activities section of the statement of cash flows be reported using the indirect method. O e. Depreciation is a non-cash expense