Noncash charges that are added back to net income in determining cash provided by operations under the

Question:

Noncash charges that are added back to net income in determining cash provided by operations under the indirect method do not include:

a. depreciation expense.

b. an increase in inventory.

c. amortization expense.

d. loss on sale of equipment.

\section*{Questions 10 and 11 apply only to the direct method.}

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