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Ede4ka [16]
3 years ago
13

The direct method for preparing and reporting the statement of cash flows reports net income and then adjusts it for items neces

sary to calculate net cash provided or used by operating activities.
Business
1 answer:
puteri [66]3 years ago
6 0

Answer: False

Explanation: The method described in the given statement is indirect method of preparing operating activities section in a cash flow statement.

   In case of direct method, the actual cash transactions involving inflow and outflow of cash is recorded to compute operating activities.

Thus, we can conclude that the given statement is false.

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A​ & D Window Cleaning performed​ $450 of services but has not yet billed customers for the month. If A​ & D fails to re
yanalaym [24]

Answer:

d. balance sheet: assets understated, equity understated income statement: revenues understated

Explanation:

The journal entry would be

Account receivable Dr $450

          To sales revenue $450

(Being sales revenue is recorded)

Here the account receivable is debited as it increased the assets and credited the sales revenue as it also increased the revenue also the equity would be increased

Therefore if this entry is not recorded so the revenue, net income, assets and equity all are overstated

hence, the correct option is d.

8 0
3 years ago
Bradley is sitting on his porch enjoying his very large front yard and drinking a lemonade when Chris, a kid from down the stree
VMariaS [17]

Answer:

c implied contract

Explanation:

4 0
3 years ago
How does a country determine whether it has a comparative advantage in the production of certain goods?
Sergeu [11.5K]

Answer:

Comparative Advantage: A country has a comparative advantage in producing a commodity if the opportunity cost of producing that commodity in terms of other commodity is lower in that country as compared to the other country.

For determining comparative advantage, countries compare their good's opportunity cost with the other country's goods opportunity cost.

7 0
3 years ago
You have been asked to help King Company make the necessary journal entry to record the purchase of office furniture for a $170
Marina CMI [18]

Answer:

Debit Office Furniture account    $710

Credit Cash account                    $170

Credit Accounts payable             $710

Being entries to recognize office furniture partly paid for.

Explanation:

When items are purchased using cash, the corresponding credits in such transactions are recorded in the cash account. Where the item is purchased on account (or credit), the credit is posted to accounts payable.

Total worth of the office furniture = $170 + $540 = $710

The total debit for this will be recorded in the office furniture account.

Hence to recognize the transaction,

Debit Office Furniture account    $710

Credit Cash account                    $170

Credit Accounts payable             $710

Being entries to recognize office furniture partly paid for.

3 0
3 years ago
The marginal utility from the first three bananas consumed are: 19, 15, and 5 respectively. The marginal utility from the first
MaRussiya [10]

Answer:A pair of sandals.

Explanation:Its so obvious stating that the marginal utility derived from sandals is higher compared to the other two items. You maximize your utility by going for the item with highest satisfaction which is glaringly sandals.

You also maximize your utility by considering the item which is economica prudent to one needs or want.

6 0
2 years ago
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