Which of the following statements is true? A) The direct method is known as the reconciliation method. B) Under U.S. GAAP, the indirect method starts with income before income taxes. C) Standard setters encourage the use of the direct method over the indirect method. D) All of these statements are true. Which of the following is not included in the operating activities section of the cash flow statement under U.S. GAAP? A) payments of income taxes B) payments of interest C) payments of executive salaries D) payments of dividends Which of the following is not a cash equivalent? A) commercial paper maturing in 45 days B) treasury bill with a maturity of 2 months C) mutual fund deposits D) accounts receivable expected to be collected in 30 days