Explain the difference between the direct and indirect methods for computing cash flows from operating activities.
What are noncash expenses? How are they treated in computing cash flows from operating activities?
Describe the treatment of a gain on the sale of equipment in preparing a statement of cash flows under the indirect method.
Depreciation is sometimes referred to as a source of cash. Is it a source of cash? Explain.
Why is it unlikely that cash flows from operating activities will be equal to net income for the same period?