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Jet001 [13]
3 years ago
7

Salud Company reports the following information. Use the indirect method to prepare only the operating activities section of its

statement of cash flows for the year ended December 31, 2017. (Amounts to be deducted should be indicated with a minus sign.) Selected 2017 Income Statement Data Selected Year-End 2017 Balance Sheet Data Net income $ 400,000 Accounts receivable increase $ 40,000 Depreciation expense 80,000 Prepaid expenses decrease 12,000 Gain on sale of machinery 20,000 Accounts payable increase 6,000 Wages payable decrease 2,000
Business
1 answer:
Ray Of Light [21]3 years ago
4 0

Answer:

The Net cash is 436.000

Explanation:

To get net cash flow using the indirect method we must make adjustments to the net income.  

It depends on the account if it is added or subtracted  to net income

In this case,  

Net income 400.000

Adjustment to reconcile the net income to cash  

- Accounts receivable increase   (40.000)

+ Depreciation expense 80.000

+ Prepaid expenses decrease  12.000

- Gain on sale of machinery (20.000)

+ Accounts payable increase 6.000

- Wages payable decrease (2.000)

 Net cash                       436.000

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You have decided that you want to be a millionaire when you retire in 45 years.
avanturin [10]

Answer:

for rate 11.2  percent ,principal = 8419.47

for rate 5.6 percent , principal = 86123.90

Explanation:

given data

amount wish A = 1,000,000

time t = 45 year

rate r1  = 11.2 % = 0.112

rate r2 =  5.6 % = 0.056

to find out

how much do you have to invest today

solution

we know here amount formula that is

amount = Principal × ( 1+ r)^{t}   ..........................1

here r is rate and t is time so

for rate r1 principal amount is by equation 1 we get

amount = Principal × ( 1+ r)^{t}  

1,000,000 = Principal × ( 1+ 0.112)^{45}  

principal = 8419.47

and for rate r2 principal is from equation 1

amount = Principal × ( 1+ r)^{t}  

1,000,000 = Principal × ( 1+ 0.056)^{45}  

principal = 86123.90

8 0
3 years ago
The Skysong Inc., a manufacturer of low-sugar, low-sodium, low-cholesterol TV dinners, would like to increase its market share i
DENIUS [597]

Answer:

Building C

Explanation:

Building A: Purchase for a cash price of $620,000, useful life 27 years.

Building B: Lease for 27 years with annual lease payments of $71,170 being made at the beginning of the year.

Building C: Purchase for $657,500 cash. This building is larger than needed; however, the excess space can be sublet for 27 years at a net annual rental of $6,200. Rental payments will be received at the end of each year.

11% cost of funds

we must determine the present value of each option:

  • Building A's present value = $620,000
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Explanation:

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<span>do all of these</span><span>

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