Which of the following does not represent the impact of the use of stock options when comparing operating cash flows?

a. Firms not using stock options will generally have lower compensation expense and higher net income.
b. Stock based compensation impacts income taxes and that impact is reflected in the statement of cash flows.
c. Stock based compensation is not presented in the statement of cash flows.
d. Stock based compensation is a simultaneous operating and financing transaction and must appear in both sections of the statement of cash flows.

Question

15-06-2024
Business

Answered

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Which of the following does not represent the impact of the use of stock options when comparing operating cash flows?

a. Firms not using stock options will generally have lower compensation expense and higher net income.
b. Stock based compensation impacts income taxes and that impact is reflected in the statement of cash flows.
c. Stock based compensation is not presented in the statement of cash flows.
d. Stock based compensation is a simultaneous operating and financing transaction and must appear in both sections of the statement of cash flows.

Sagot :

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Sagot :

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