Answer:
c. materials inventory, work-in-process inventory, finished goods inventory, cost of goods sold.
Explanation:
Costs are not static, they are dynamic, therefore, they move through the value chain.
It all begins with the cost of raw materials that push the whole chain. Afterwards, the cost moves to the work-in-process inventory. When the goods are finished, the cost moves to finished goods inventory, with the storing cost firstly in mind. Lastly, the cost resides with the cost of goods sold, with the added costs of distribution and sales.
Accounting-wise, the flow of cost introduces the LIFO and FIFO systems, which relate to the way how cost is managed throughout the flow - backward or forward.
Answer:
Cash flow from operating activities = $1,000
Explanation:
Statement of Cash flow
<u>Cash from Operating activities</u>
Net Income $3,000
+ Depreciation $2,000
+ Loss from sales of PPE $1,000
<u><em>Adjustment on Working capital</em></u>
Increase in accounts receivables -$4,000
(1,000 - 5,000)
Decrease in Inventory $1,000
(5,000 - 4,000)
Decrease in Account payable -$1,000
(4,000 - 5,000)
Decrease in unearned revenue <u>-$1,000</u>
(1,000 - 2,000)
Cash flow from operating activities <u>$1,000</u>
Answer:
Cash Inflow of $191,400
Explanation:
There are three types of activities in the cash flow statement which are described below:
1. Operating activities: It includes those transactions which affect the working capital after net income. The increase in current assets and a decrease in current liabilities would be deducted whereas the decrease in current assets and an increase in current liabilities would be added.
These changes in working capital would be adjusted. Moreover, the depreciation expense is added to the net income
2. Investing activities: It records those activities which include purchase and sale of the long term assets. The purchase is an outflow of cash whereas sale is an inflow of cash
3. Financing activities: It records those activities which affect the long term liability and shareholder equity balance. The issue of shares is an inflow of cash whereas redemption and dividend is an outflow of cash.
In the given case, the sale proceed of equipment is consider in the investing activity i.e $191,400
Essential!! it’s very essential to solving
Answer:
Hierarchy
Explanation:
Often, managers are placed with superior authority than other employees of a firm. These employees are expected to respect the manager in their operations. When it comes to decision making they follow the hierarchy of staff members, that is from Top to Down level.
Thus, In a law firm we would expect a hierarchical structure that is based on years of practicing law.
