Answer:
$14,439.8
Explanation:
The computation of operating cash flow is shown below:-
The operating cash flow is shown below:
= EBIT + Depreciation - Income tax expense
where,
EBIT = Sales - cost of good sold - depreciation expense - selling and administrative expense
= $44,432 - $14,909 - $4,965 - $10,816
= $13,742
Tax expenses = ( Earnings before interest and tax - interest expenses ) × tax rate of 40%
= ($13,742 - $3,074) × 40%
= $10,668 × 40%
= $4,267.2
So, the operating cash flow
= $13,742 + $4,965 - $4,267.2
= $14,439.8
First of all you need to get the knowledege about previous as you only a database administrator.
Answer:
(a) 14%
(b) 15%
(c) 15.48%
Explanation:
cost of retained earnings:
= ($3.03 ÷ $34) + 0.05
= 0.09 + 0.05
= 14%
Therefore, the Evanec's cost of retained earnings is 14%
Flotation cost percentage:
= [($34 - $28.90) ÷ $34] × 100
= 0.15 × 100
= 15%
Therefore, the Evanec's percentage flotation cost is 15%.
Cost of new common stock:
= ($3.03 ÷ $28.90) + 0.05
= 0.1048 + 0.05
= 15.48%
Therefore, the Evanec's cost of new common stock is 15.48%.
Note:
I wasn't able to access the Chester Income Statement but I successfully accessed a similar question Digby.
The Complete Question is as under:
Refer to the HR Reports in the Inquirer. Through past investments in recruiting and training Digby has obtained a productivity index of 109.6%. This means that Digby's labor costs would be increased by 9.6% if it did not have these productivity improvements. This is a competitive advantage that Digby can sustain or even widen further if its competitors have no HR initiatives. Now, refer to the Income Statement in Digby's Annual Report. How much did Digby's productivity improvements save it in direct labor costs (in thousands) last year?
A. $766
B. $29818
C. $3137
D. $3211
Answer:
Option D. $3,137
Explanation:
The Productivity Index of 9.6% shows that if the improvement plan is implemented then the efficiency gains would result in saving of 9.6% of total direct cost. So if we total the direct cost for the year for all of the four products then we have an amount of $32,680 which is given at the second last column.
The amount saved last year would be:
Savings = $32,680 * 9.6% = $3,137
Hence the option C is correct here.
Answer:
C. Debit Service Fee Expense for $6
Explanation:
McGregor only uses the services of the Credit Card company for their own activities, therefore, aside from the income of the service provided of $200, the credit card company will charge McGregor for the use of credit card services by the customer.
As such, since it is the decision of the customer to pay with a credit card, then the customer must bear the service fee expense of 3% of the cost of the service which is $6. Hence, Option C is correct. It means aside the $200 for the service, there is a need to debit service fee expense for $6
Option D is wrong because only $200 is service revenue, it has to be clearly stated that the 3% of $6 is different from the service revenue and should be debited as service fee.
If the customer is reluctant to make the payment, then there is an allowance to pay cash instead of using the credit card service.
