All categories

3 years ago

Which of the following is added to net income to reconcile to cash from operations?

Business

1 answer:

skad [1K]3 years ago

7 0

Answer:

E. None of the above

Explanation:

The only two accounts that you must add to net income are the amortization and depreciation

In order to reconcile net income to cash from operations the Amortization and Depreciation must be added to Net Income.

Why? because These accounts: Amortization and Depreciation are not cash accounts. This means that the figures in amortization and Depreciation are not actual outflows of cash but just a bookkeeping figure.

You might be interested in

What happens to the price of a good or service when a shortage of that good or service occurs?

Pachacha [2.7K]

Answer:

If shortage of goods and services occurs, obviously, the price will touch the sky, i. e. the price will increase twice or thrice the Real price...

8 0

2 years ago

Some of the most common challenges of working on a team are:

Dmitrij [34]

Answer: C. Picking the right people to work with on the team

Explanation:

For the work to be carried out successfully it is important to have the right staff. When you choose the right people, it's much easier to be able to work as a team. Having the right person means that you are someone with goals that go along the same lines as the company, someone who follows the schedules at the time of the meetings and who is aware of the importance of feedback.

When companies hire someone, they make sure that they can be someone who is committed to performing their stated duties, someone with ideas and a good push for the team.

3 0

3 years ago

You can buy property today for $2.2 million and sell it in 5 years for $3.2 million. (You earn no rental income on the property.

Stolb23 [73]

Answer:

PV of the sales price $1,986,948.23

Explanation:

We will calcualte the present value of the sale price using the present value of a lump sum formula:

$\frac{Maturity}{(1 + rate)^{time} } = PV$

Maturity 3,200,000

time 5 years

rate 10% = 10/100 = 0.1

$\frac{3200000}{(1 + 0.1)^{5} } = PV$

PV $1,986,948.2338

This indicates the 3,200,000 in five years are equivalent to 1,986,948.23 dollars Thus, this investment is not profitable as the property will be purchased at 2,200,000

7 0

3 years ago

You are provided with the following information for Sandhill Co., effective as of its April 30, 2022, year-end.

Ray Of Light [21]

Answer:

SANDHILL CO.

Income Statement

For the Year Ended April 30, 2022

Revenues

Sales revenue $6,200

Expenses

Cost of Goods Sold $1,000

Depreciation expense $315

Income tax expense $175

Insurance expense $360

Interest expense $460

Salaries & Wages expenses $850

Total Expenses $3,160

Net Income $3,040

SANDHILL CO.

Retained Earnings Statement

For the Year Ended April 30, 2022

Retained Earnings, May 1, 2021 $1,700

Add: Net Income $3,040 $4,740

Less: Dividends $310

Retained Earnings, April 30, 2022 $4,430

7 0

2 years ago

Su Industries has international subsidiaries in Asia. These subsidiaries enter into transactions in both the US dollar and local

Savatey [412]

Answer: Increase / Gain of $36,000

Explanation:

Remeasurement loss, which arises from conversions of the various currencies used by the company to a functional currency, goes to the Income statement and is subtracted from the Net income.

Translation gains on the other hand, are added to the Other Comprehensive income.

The other comprehensive income will therefore increase by the translation gain of $36,000.

5 0

2 years ago