Which of the following would cause net income on the accrual basis to be different from (either higher or lower than) “cash provided by operating activities” on the statement of cash flows?
A. Purchased land for cash.
B.Purchased supplies for cash.
C. Paid advertising expense.
D. Paid dividends to stockholders.
Answer:B
Which of the following would cause net income on the accrual basis to be different from (either higher or lower than) “cash provided by operating activities” on the statement of cash flows?
A. Purchased land for cash. B.Purchased supplies for cash. C. Paid advertising expense. D. Paid dividends to stockholders.