Answer:
Net operating cash flow $68,300
Explanation:
Operating cash flow is the amount of cash generated by a company from its main and normal business activity. This cash flow is useful to gauge the financial viability of a firm's business activity; the larger the better.
It is essentially computed as the net movement of cash inflow and outflow in respect of a business activities.
It is computed as follows:
$
Net income 49,000
Add deprecation 17,200
Less increase in receivable (11.200)
add increase in payables <u>13,300</u>
Net operating cash flow <u> 68,300</u>
Note that only items that relate to trading which is the core business area of the Pearl Corporation are considered. Depreciation is added because it is a non-cash item initially deducted from net income.
An increase in receivable means a reduction in cash while an increase in payables implies cash savings
Net operating cash flow $68,300
Answer:
4 warehouses
Explanation:
Total warehouse = 8
Total inventory = 3,600 units
Units per warehouse = Total inventory /Total warehouse
Units per warehouse = 3,600 / 8
Units per warehouse = 450
Now, Alpha Enterprises wants to reduce their inventory to 1,800 units, the number of warehouse should then be:
= 1,800 units / 450 units
= 4 warehouses.
Answer:
The Time Value of Money formula is FV = PV x [ 1 + (i / n) ] (n x t)] where V is the Future value of money, PV is the Present value of money, i is the interest rate, n is the number of impounding periods per year, and t is the number of years.
