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A. Interest received on investments in bonds.
B. Interest paid on the company’s bonds.
C. Cash collected from customers.
D. Cash dividends paid on the company’s stock.
D. Cash dividends paid on the company’s stock.
D is the correct answer
Only the direct method provides specific information about the cash inflows or outflows from different operating activities (such as cash received from customers and cash paid to suppliers).
I guess option (b) for an answer here.
C. Cash collected from customers.
