A company uses the indirect method to prepare the statement of cash flows. How can amortization be presented on the statement of cash flows?
A) Amortization expense can be added to net income in the financing activities section on the statement of cash flows.
B) Amortization expense can be subtracted from net income in the operating section on the statement of cash flows.
C) Amortization expense can be added to net income in the operating activities section on the statement of cash flows.
D) Amortization expense can be added to net income in the investing activities section on the statement of cash flows.
C
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