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While computing cash from operating activities, which of the following item(s) will be added to the net profit? i. Decrease in value of inventory ii. Increase in share capital - Accountancy

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Question

While computing cash from operating activities, which of the following item(s) will be added to the net profit?

  1. Decrease in value of inventory
  2. Increase in share capital
  3. Increase in the value of trade receivables
  4. Increase in the amount of outstanding expenses

Options

  • Only (i)

  • Only (i) and (ii)

  • Only (i) and (iii)

  • Only (i) and (iv)

MCQ

Solution

Only (i) and (iv)

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2024-2025 (March) Analysis of Financial Statements
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