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LekaFEV [45]
3 years ago
7

on the statement of cash flows prepared by the indirect method, a $50,000 gain on the sale of investments would be a. deducted f

rom cash received from the sale to determine cash flows from investing activities. b. added to cash received from the sale to determine cash flows from investing activities. c. deducted from net income in converting the net income reported on the income statement to cash flows from operating activities. d. added to net income in converting the net income reported on the income statement to cash flows from operating activities.
Business
1 answer:
andrew11 [14]3 years ago
3 0

Answer:

A. Deducted from cash received from the sale to determine cash flows from investing activities.

Explanation:

In the indirect method, the statement of cash flows is prepared by substracting from sales revenue, the corresponding actual amounts of cash that were received.

A $50,000 gain on the sale of investments is, as the name implies, a revenue obtained from investing activities. By the indirect method, from this amount, the actual cash inflows and outflows would be added or substracted to obtain the final result.

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Why should firms with promising investment opportunities strive to maintain a conservative capital structure, i.e., limited leve
Crazy boy [7]

Answer:

The answer is to assure funding for future assets.

The answer is because of lack of sufficient operating cash flow.

Explanation:

Companies with promising investments opportunity typically have valuable intangible assets whose value would decline sharply if the company would go into financial difficulty, its important for such company to maintain a financial flexibility that comes with a conservative capital structure to assure funding for future assets.

   Poor cash flow is when the income cash flow is insufficient to meet the outgoing cash flow needs of a business and this can also lead to inability to raise additional equity force.

7 0
3 years ago
The client at the HIV clinic has come in complaining of unintended weight loss with diarrhea lasting over the last month. How is
AVprozaik [17]

Answer:

The correct answer is Loss of 10% of usual weight.

Explanation:

The attrition syndrome associated with HIV infection is characterized by:

  1. Loss of involuntary body weight and greater than 10% compared to the normal reference weight.
  2. Diarrhea or chronic weakness with fever, for a period greater than 30 days.
  3. Absence of any infection or condition other than HIV: cancer, tuberculosis, cryptosporidiasis and other enteritis that could explain these symptoms.
  4. In practice, any progressive and involuntary weight loss of this magnitude is considered a syndrome of attrition and translates into the development of a significant nutritional deficit that leads to significant physical and psychological deterioration.

The attrition syndrome may be a consequence of HIV infection itself. Thus, those patients presenting with symptoms of wear and tear should use all available options of antiretroviral therapy, which may remit symptoms and not require other specific interventions. It is also associated with opportunistic HIV infections and cancers. Opportunistic infections that cause diarrhea can cause attrition syndrome. This can cause greater immunodeficiency in affected people and predispose them to certain diarrheal opportunistic infections, which would be reinforced by a vicious cycle.

7 0
3 years ago
If a purchase is a new buy for a manufacturer, the seller should be prepared to act as a consultant to the buyer, expect a long
VMariaS [17]

Answer:

d. work with technical personnel.

Explanation:

In the given scenario a manufacturer is making a new buy from a seller. This is a risky investment for the buyer because of uncertainty on how the product will perform and lack of technical know-how in operating the product.

The buyer therefore will require the seller to act as a consultant in case of issues arising from the use of the product, buying decision will take a long time because the buyer will want a good fit for their operations, and more work will be done with technical personnel to train them on how to use the product

8 0
4 years ago
Why you believe it is important to align it with the organization's core goals and strategic direction?
OverLord2011 [107]

Answer:

Managers must ensure that their individual goals and work - as well as that of their direct reports - is in line with the overarching strategy. Then, you can ensure that your people are driving progress daily. Proper strategic alignment ensures the work of your best talent is being effectively and efficiently utilized

4 0
4 years ago
Altex Inc. manufactures two products: car wheels and truck wheels. To determine the amount of overhead to assign to each product
Lorico [155]

A) Direct labor hrs for car wheels = estimated wheels *direct labor per wheel  

40,000 *1hr = 40,000      

   

Direct labor hrs for Truck      

10,000 * 3hr= 30,000      

   

total direct labor hrs 40,000+30,000 = 70,000  hrs

Overhead rate is total est oh cost/ total direct labor hrs    

770,000/70,000= 11.00    

B) Car truck wheels 40,000*11 =440,000

Truck wheels 10,000*11=110,000

6 0
3 years ago
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