Answer:
$165,000
Explanation:
Free cash flow is the net cash cash flow available for the shareholders or for the reinvestment after paying all capital expenditure.
The Depreciation is already adjusted in the Cash Flow from operating activities.
Free Cash Flow = Cash Flow from operating activities - Dividend payment - Capital expenditure
Free Cash Flow = $335,000 - $60,000 - $110,000 = $165,000
Current and Long term liabilities has nothing to do in free cash flow calculations.
Answer:
Option b is correct.
Explanation:
Option b is correct.
The sunk cost is the cost that has been incurred and which can not be recovered. Thus, anycost that can not be recovered is called the sunk cost. Therefore, the option 'b' that states pushing wrong button and getting a wheatgrass sandwich is the sunk cost because it can not be returned.
Yes, it would matter. If Wade was primarily concerned with the tax effect, he should give the car to his daughter and let her sell it. Conveniently, the limit on how much one can give without paying federal taxes on that gift (other than to charity), is $13,000. This means wade will pay no tax when he gifts the car to his daughter. If he sells it himself, he will need to pay tax on the gain he realizes on the sale of the car, since he will have made a profit on the sale.
His daughter, when she sells the car, will also have to recognize the gain on the sale of the vehicle. However, she is apparently in a much lower income bracket than Wade, and thus may pay even less tax on her 13,000 gain than Wade would have paid on his $3600 profit.
Answer:
The statement is false. The correct option is B.
Explanation:
The statement is false because the product warranties are those warranties which are provided at the time of sale of the product but they are not expensed in the account in the period when the product is sold as these warranties are claimed by the customer when they face any defect in the product so it is uncertain in which year this will happen. So, they will be expensed when the customer will claim the product warranty.
Therefore, the correct option is B.