Answer:
$74,000.
Explanation:
Operating activities are those activities that are linked to the provision of goods and services. These activities are performed to conduct the core operations of the business. Operating activities earn revenue and generate profits for the entity, so transactions related to Non-current assets, Liabilities, and Equity are excluded from operating activities.
While preparing a cash flow statement under indirect method, the opening and closing balances of Accounts receivable are compared to determine the cash inflow/outflow. The opening balance of receivable is $16,000. During the period, $64,000 of credit sales were made. This will increase the balance of receivable to $80,000. The ledger of receivable reveals that the ending balance is $10,000, this means that the receivables decrease by $70,000 during the period. A decrease in receivable is a cash inflow. But it should be noted here that balances provided are stated at NRV (Net Realizable Value), it means that these balances include the effect of bad debts. We have to remove this effect because bad debt (uncollectible accounts expense) is a non-cash expense, it is just the estimation of management and the requirement of prudence concept. This amount should be added back to in-flows, and the resultant value will be $74,000.
<u>Calculation</u>
16,000 + 64,000 - 10,000 + 4,000 = $74,000.
Answer:
export import net export
1. increases unchanged increases
2. unchanged increases decreases
3. unchanged increases decreases
4. unchanged increases decreases
5. increases unchanged increases
Explanation:
export would comprise of goods and services produced in the US that are been sold to foreign countries
Import would comprise of foreign produced goods and services that are been sold in the US
Net export would increase when export occurs and decrease when import occurs
Net export = exports – imports
When the French historian visits the US museum and the European family visits Disney, they are enjoying US services, thus export increases and net export increases
The purchase of books from Cambridge in UK, Panasonic camera and the visit to Japan constitutes import. These increases import and reduces net export
Answer:
The correct answer is letter "B": It involves linking all processes of a company from its customers through its suppliers.
Explanation:
Customer Relationship Management or CRM is the approach of analyzing customers' behaviors and purchasing trends to adapt the company production to that pattern. CRM focuses on improving the interaction between firms and their customers. The main purpose of CRM is increasing an organization's revenues.
Answer:
Question 1, overhead cost are applied to products on the basis of only one appropriate basis (absorption basis) and no overhead manufacturing cost is traceable to the goods. Traditional costing systems allocates the overhead cost to products on inappropriate basis.
So the answer is Option-C.
Question 12
Option A is incorrect because it is Activity based costing that identifies the cost drivers that are the cause of the cost generation.
Option B is also incorrect because in traditional absorption costing, the manufacturing overheads are not written off, they are absorbed in the unit product cost.
Option C is correct because there is no concept of cost drivers in absorption costing so saying that all the funds are aggregated to one cost pool generally known as manufacturing overhead cost.
Option D false again. it is the activity based costing that improves the overhead absorption basis.
Option E is also incorrect because activity based costing is superior than traditional costing.
Question 13
Option C is correct simply because it is its definition. Cost estimation, cost prediction and cost approximation is about forecasting techniques whereas cost analysis is about different cost arising and managing & controlling them.
Question 14
Cost estimation is about forecasting cost that is on relevant basis like using activity - cost relation.
Question 15
Variable cost changes in direct relation to the activity level. Fixed does not changes with activity level. Semi fixed is fixed and variable as well. Step fixed remains fixed for the threshold and then again remains fixed for another threshold level of activity.
Answer:
1. 36
2. 16
3. 9
Explanation:
According to Henry Mintzberg, a who is known as a professor of Management of Studies. In his model commonly referred to as organizational configurations framework, he concluded that, managers averaged THIRTY SIX written and SIXTEEN verbal contacts per day with most of these activities lasting less than NINE minutes.
Hence, in this case, the correct answer is 36 : 16 : 9