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Hatshy [7]
3 years ago
15

The balance sheet of Innovative Products reports total assets of $570,000 and $770,000 at the beginning and end of the year, res

pectively. The cash return on assets for the year is 30%. Calculate Innovative Products’ net cash flows from operating activities (operating cash flows) for the year.
Business
1 answer:
Makovka662 [10]3 years ago
6 0

Answer:

$201,000

Explanation:

The computation of net cash flows from operating activities is shown below:-

Beginning Total Assets            $570,000

Ending total assets                   $770,000

Average Total Assets in use    $670,000

($570,000 + $770,000) ÷ 2

Cash return on Asset                    30%

Cash Flow from operating activities  

Average Assets × 25%               $201,000

($670,000 × 25%)

Therefore the Cash Flow from operating activities is $201,000

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Explanation:

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Indicate what components of GDP (if any) each of the following transactions would affect. Check all that apply.
Kamila [148]

Answer:

Explanation:

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3. Effect on investment. Purchase of new housing affects the count of investment (not consume).

4. Affects consume. Because the air-conditioner was produced in the US.

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4 0
3 years ago
A 13-year bond of a firm in severe financial distress has a coupon rate of 10% and sells for $930. The firm is currently renegot
adoni [48]

Answer:

Stated yield is 11.04%

expected yield is  5.78%

Explanation:

The expected yield to maturity can be computed using the rate formula in excel which is given below:

=rate(nper,pmt,-pv,fv)

nper is the number of coupon interest the bond would pay which is 13

pmt is the amount of coupon interest the bond pays which is $1000*10%=$100

pv is the current price of the bond which is $930

fv is the face value of $1000

=rate(13,100,-930,1000)=11.04%

However the expected yield has the coupon interest reduced to one -half as calculated below:

=rate(13,100*0.5,-930,1000)=5.78%

3 0
3 years ago
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3 years ago
30points
koban [17]

Answer: C

Explanation:

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