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Which of the following statements is incorrect concerning the preparation of the operating section of the statement of cash flows? O A. Assuming all sales
Which of the following statements is incorrect concerning the preparation of the operating section of the statement of cash flows? O A. Assuming all sales are made on account and there was a net decrease in accounts receivable during the period, the cash received from customers can be calculated by adding the net decrease to total sales for the period. B. The choice of preparation method, direct or indirect, does not change the overall cash flow from operating activities reported on the statement. C. Assuming accounts payable includes only inventory purchases, to calculate the payment to suppliers, both inventory and accounts payable are analyzed. D. A net loss from the sale of a long-term asset is reported in the operating section as a use of cash. O E. Cash operating expenses, assuming they are paid when incurred, are calculated by subtracting noncash expenses from the total operating expenses reported on the income statement
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