Which one of the following statements is not true about statements of cash flows prepared according to U.S. GAAP?

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Which one of the following statements is

not

true about statements of cash flows prepared according to U.S. GAAP?

  • The operating section of the indirect method starts with the net income of the period.
  • In the indirect method statement, the period’s depreciation is added to net income because it is a source of cash.
  • Interest payments are included in the operating section of the direct method statement.
  • The investing section of the direct method statement for a period is identical to the investing section of the indirect method statement for the same period.
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