A source document prepared by the seller that lists the items ...

[olgavictoria]

A source document prepared by the seller that lists the items shipped, their cost, and the method of shipment is commonly referred to by the seller as a purchase invoice.
 a. True
   b. False
   Indicate whether the statement is true or false

Question 2

Team Shirts, Inc recognized 8,144 of supplies expense for the year. At the beginning of the year, the balance in Supplies was 1,625. At the end of the year, the balance was 2,035. All supplies have been paid for in cash.
 
  How is the accounting information for these items reported on the statement of cash flows using the INDIRECT method?
  What will be an ideal response?

[frogdreck123456]

Answer to Question 1

False

Answer to Question 2

The net increase of 410 is subtracted from net income in the operating activities section. The 8,144 is not reported on the statement of cash flows separately because it has already been deducted in arriving at net income.

[olgavictoria]

Thank you

[frogdreck123456]

No problemo