Answer:
If the hospital underestimated its bad debt, that means that they are overestimating their profits. The cash flow is determined using the income statement, so it will also be overestimated. But at some point reality will catch up and the actual cash flow will be less than expected, since bad debts reduce actual revenue.
Answer:
What is the initial cost of the project?
the initial cost or initial outlay = $100
how much value is created?
the NPV of the project = -$100 + $50/1.1 + $50/1.1² + $50/1.1³ = $24.34
the NPV basically gives us how much value or wealth is created by the project
and what would you be willing to sell the project for?
selling price = $124.34 (= initial outlay + NPV)
Based on the accrual method, the correct entry for $10,000 worth of services would be a debit to accounts receivable for $10,000 and a credit to Sales revenue for $10,000.
<h3>Why is this the correct entry?</h3><h3 />
The company has performed a certain service for a customer and hasn't been paid for it. The customer therefore owes the company which makes them an account receivable.
The $10,000 will be considered revenue by the company so they will credit the revenue account. Accounts Receivables are assets so this account will be debited.
Find out more on accounts receivables at brainly.com/question/24871345.
Answer:
This statement is False
Explanation:
Operational inefficiencies do not occur because accounts unique to many concurrent transactions need to be updated in real time. There are many reasons for operational inefficiencies occur as a result of factors such as improper planning, poor scheduling, poor supervision and quality control, and other factors.
Answer: Simple Interest earned during 10 years = 25000 * 7% * 10
=(250*7*10)
= 17500
<em>Total Value of investment </em>= 17500 + 25000 = 42500
Explanation:
(1) For finding <em>the total value of the investment in 10 years, </em>we have to first compute the simple interest earned for 10 years i.e. the investment time period.The formula of calculating Simple Interest is as follows-
Value Invested * Interest Rate * Time period of investment
Applying the simple interest formula we will get the value of simple interest as shown in the answer above.
(2) Lastly, we have to add Value invested in the beginning and the Simple Interest earned during the 10 years for finding <em>the total value of the investment in 10 years </em>i.e.
<em>Total Value of investment = Value invested in the beginning + Simple Interest Earned during the investment period (10 years in this case)</em>
