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Blizzard [7]
3 years ago
14

Assume the indirect method is used to compute net cash flows from operating activities. For this item extracted from the financi

al statements—Interest Income (assume that cash received is equal to amount reported)—indicate the effect on net income in arriving at net cash flows from operating activities by choosing one of the following:
Add to net income to arrive at net cash flows from operating activities.
Subtract from net income to arrive at net cash flows from operating activities.
Not used to adjust net income to calculate net cash flows from operating activities.
Business
1 answer:
Arte-miy333 [17]3 years ago
3 0

Answer:

Explanation: Subtract from net income to arrive at net cash flows from operating activities.

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A pension plan helps pay for ______.
GrogVix [38]
C retirement benefits.  This is why retirees are sometimes called "pensioners"
4 0
4 years ago
Read 2 more answers
Identify the statement below that is true regarding the Allowance for Doubtful Accounts account. Multiple Choice The account has
Reika [66]

Answer: The account has a normal credit balance and is reported on the balance sheet.

Explanation:

The allowance for doubtful accounts refers to the amount of account receivable that the company believes will not be paid by the customers. It is referred to as the bad debt reserve as well.

The allowance for doubtful accounts reduces the accounts receivable. It also has a normal credit balance and is reported on the balance sheet.

6 0
3 years ago
Charlie's brother, Alexander, also consumes apples (A) and bananas (B). Alexander's utility function happens to be U(A, B) = 5A
Andrei [34K]

Solution :

U(A, B) = 5A + 2B

a). Bundles (40, 5) = U ( _____ , 2), lie on the same indifference curve. Suppose missing numbers is x.

So, U(40, 5) = U(x, 2)

   (40 x 5) + (2 x 5) = 50x + (2 x 2)

     210 - 4  = 5x

       x = 41.2

So Alexander has 40 apples and 5 bananas. The indifference curve though (40, 5) also include bundle.

Therefore, (41.2, 2)

b). $MRS_{BA} = \frac{MU_B}{MU_A}$

                  $=\frac{\delta U/\delta B}{\delta U/\delta A}$

                  $=\frac{2}{5}$

                 = 0.4

So Alexander  has 40 apples and 5 bananas with this bundle. Alexander would like to give up 0.4 unit apples for a banana.

7 0
3 years ago
Herb Huskie currently has an ROI of 16%, average operating assets of $1,500,000 and NOI of $240,000. The minimum required rate o
yanalaym [24]

Answer:

c. No, the new project would have a ROI of 12%

Explanation:

Given that

NOI from new project = $30,000

Investment for a new project = $250,000

Using residual income the Huskie make this investment is shown below:-

Lower than current = NOI from new project ÷ Average operating Assets or Investments

= $30,000 ÷ $250,000

= 12%

No, the new project would have a ROI of 12%

4 0
4 years ago
A lash adjuster keeps pressure constant on engine​ valves, thereby increasing fuel efficiency in automobile engines. the relatio
zvonat [6]

Answer and Explanation:

Relationship between price and demand:

D = (2400 - p)/(0.100)

p = 2400 - 0.100*D

then:

Total revenue = p*D

                        = 2400*D - 0.100*D^2

for a maximum revenue:

dR/dD = 0

2400 - 0.100*2D = 0

D = 12000

this is considered a demand

for maximum profit, the initial cost of automobile engines should be less required.

4 0
3 years ago
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