A company's possessions are called liabilities

The statement of cash flows (indirect method) reports depreciation expense as an addition to net income because depreciation

A. causes an inflow of funds for the replacement of assets. B. reduces reported net income of the period but does not involve an outflow of cash for that period. C. is a direct use of cash. D. reduces reported net income and causes an inflow of cash.

Visa and MasterCard credit is usually expensive credit if it is used as a form of permanent credit

Indicate whether the statement is true or false.