Answer:
Cash flows tell us about the company’s actual outflows and inflows of cash in particular period such as quarter or year or others. This very important for business as cash flow from main operations helps the company to see whether they are generating enough to invest in growth projects or not.
Answer:
tempering
Explanation:
i was searching g o o g l e and it took a while to figure it out i am sure this is the correct one.
Answer:
False
Explanation:
Green's distribution of $50,000 in to its sole shareholder at the end of the year should be treated as a dividend because Green's total earnings and profits for the year were $100,000.
A distribution from a corporation to a shareholder can only be treated as a dividend when the corporation made a profit during the current year, or has positive accumulated earnings and profits.
Answer:
Times interest earned (TIE) = 7.4 times
Explanation:
The times interest earned (TIE) ratio is a measure used to analyze the company's ability to meet its debt obligations on the basis of its current income level. The TIE ratio is calculated as follows,
Times Interest Earned (TIE) = EBIT / Total Interest expense
Where,
- EBIT is the earnings of the company before interest and tax
To calculate TIE, we first need to determine the EBIT. EBIT can be calculated by backward working. Thus, EBIT is:
EBIT = Net income + tax + interest expense
EBIT = 240000 + 80000 + 50000
EBIT = $370000
Times interest earned (TIE) = 370000 / 50000
Times interest earned (TIE) = 7.4 times
There are several types of organization restructuring:
<span>1. </span>Downsizing
<span>2. </span>Starbust
<span>3. </span>Verticalization
<span>4. </span>De-layering
<span>5. </span>Business process re-engineering
<span>6. </span>Outsourcing, and
<span>7. </span>Virtualization
<span>Among them, the type of restructuring to retain the most essential employees is known as de-layering. D</span><span>e-layering involves breaking down the typical pyramid setup into a flat organization. Its purpose is to thin out or lessen the top layer of unproductive and highly paid ‘white collar’ personnel. It promotes innovation, builds customer intimacy and increases consumer satisfaction. The main advantage is that the decision-making process becomes more effective and shorter.</span>