Question

Jeremy, an accountant working for a large manufacturing business, is preparing the business’s cash flow statement using the indirect method. Which amount would Jeremy deduct from the net income amount?
A.
a decrease in salaries payable
B.
an increase in depreciation
C.
a decrease in inventory
D.
a decrease in prepaid rent
E.
an increase in short term loans

Answer 1

Correct Answer is c because it is decreasing