To arrive at net cash provided by operating activities it isnecessary to report

To arrive at net cash provided by operating activities it isnecessary to report revenues and expenses on a cash basis. This isdone byA.re-recording all income statement transactions thatdirectly affect cash in a separate cash flow journal.B.eliminating all transactions that have no current or futureeffect on cash such as depreciation from the net incomecomputation.C.estimating the percentage of income statement transactionsthat were originally reported on a cash basis and projecting thisamount to the entire array of income statement transactions.D.eliminating the effects of income statement transactionsthat did not result in a corresponding increase or decrease incash.