Answer and Explanation:
The statement of cash flow involves 3 kinds of activities mentioned below:
1. Operating activities: Many transactions are based that affect the working capital following net income. It would increase the growth in current assets and a decrease in current liabilities, whereas adding the decrease in current properties and an increase in current liabilities.
This should mitigate any work capital shifts. Furthermore, the cost of depreciation is attributed to the net income and the loss on the sale of assets is attributed while the benefit on the sale of assets is deducted
2. Investing: it monitors activities involving the acquisition and selling of long-term assets. The purchase is cash outflow while the selling is cash inflow
3. Financing activities: it monitors activities that impact on the shareholders' long-term debt and equity balance. Share issue is cash inflow whereas cash outflows are redemption and dividend.
Therefore based on the above explanation, the classification is as follows
1 Financing Activity
2. Operating activity
3 Investing activity
4 Financing Activity
5 Operating activity
6 Investing activity
7 Financing Activity
8 Financing Activity
9 Operating activity
10 Operating activity
Answer:
Total return equals earnings multiplied by the dividend payout rate.
Explanation:
Total return is calculated as appreciation of price plus dividend paid, divided by the original price of the stock.
The income gained on a stock is the increase in its value along with dividend that is paid out. This is compared to the original price (denominator) to determine how much returns is realised on the stock.
Mathematically
Returns= {(New price- Old price) + Dividend} ÷ Old price
So the statement total return equals earnings multiplied by the dividend payout rate is false
Answer:
Unitary cost= $49.72
Explanation:
Giving the following information:
Each chair takes $14 of direct materials and uses 1.9 direct labor hours at $16 per direct labor hour. The variable overhead rate is $1.20 per direct labor hour, and the fixed overhead rate is $1.60 per direct labor hour.
The unitary cost under absorption costing is the sum of direct material, direct labor, and total overhead.
Unitary cost= 14 + (1.9*16) + (1.2*1.9) + (1.6*1.9)= $49.72
Answer:
Borrower can capitalize on a reference rate decrease
Explanation:
Variable interest rate is the floating interest rate, which changes with change in the interest rate given by central bank. It is not fixed it can vary. It might be increased or decreased time to time.
As a borrower Increase in interest rate will result in loss because due to variable nature we need to pay more interest and decrease in interest rate will result in profit because due to variable nature we need to pay less interest
