Asked by Nikita Verma on May 06, 2024
Verified
Net income from operations is generally not the same as cash provided from operations because revenues and expenses are recognized in the income statement on the ______________ basis.
Accrual Basis
An accounting method where revenue and expenses are recorded when they are earned or incurred, regardless of when the cash is actually received or paid.
- Distinguish between accrual basis and cash basis accounting in the context of cash flows.
Verified Answer
LH
Learning Objectives
- Distinguish between accrual basis and cash basis accounting in the context of cash flows.