a-company-has-a-net-income-of-50000-using-the-indirect-method-what-is-the-first-

Question

A company has a net income of $50,000. Using the indirect method, what is the first step in calculating operating cash flows?

Accepted Answer

Adjust net income for non-cash expenses

Answer

Calculate investing cash flows

Answer

Subtract gains from net income

Answer

Determine financing cash flows

A company has a net income of \$50,000. Using the indirect method, what is the first step in calculating operating cash flows?