1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
damaskus [11]
3 years ago
13

You are evaluating the balance sheet for Cypress Corporation. From the balance sheet you find the following balances:Cash and ma

rketable securities = $610,000, Accounts receivable = $810,000, Inventory = $510,000, Accrued wages and taxes = $51,000, Accounts payable = $201,000, and Notes payable = $1,010,000. What is Cypress's net working capital?
Business
1 answer:
s344n2d4d5 [400]3 years ago
4 0

Answer:

The answer is $668,000

Explanation:

Net working capital = current asset - current liability.

Under current asset, we have Cash and marketable securities($610,000) Accounts receivable($810,000) Inventory($510,000)

And under current liability, we have

Accrued wages and taxes($51,000) Accounts payable($201,000), Notes payable($1,010,000)

Current asset = $610,000+$510,000+$810,000 = $1,930,000

Current liability = $51,000+$201,000+$1,010,000=$1,262,000

Therefore, net working capital =$1,930,000 - $1,262,000

=$668,000

You might be interested in
If the expected ROE on reinvested earnings is equal to k, the multistage DDM reduces to:_______A. VO= (Market return in year 1)/
slega [8]

Answer:

VO = ( expected EPS in year 1 )/k ( D )

Explanation:

The multistage DDM reduces to, VO = ( expected EPS in year 1 )/k, The expected ROE on reinvested earnings been equal to K shows that the ROE is constant. since it is constant the value on returned earnings would be zero.

this simply means that EPS = DPS

5 0
3 years ago
Will and Janine are divorced during the current year. Will is to have custody of their two children and will receive their house
Leto [7]

Answer:

Since Will is getting the custody of their two children, he can claim them as dependents and deduct exemptions when he files his taxes.

  • child tax credit ($2,000 per child under 18)
  • child and dependent tax credit (up to $3,000 per child under 13 and $500 for dependent over 13)
  • American opportunity education credit (up to $2,500 per child that studies x 4 years maximum)

Alimony can no longer be deducted from Janine's AGI, nor it should be included in Will's AGI.

Property distributions (cars and house) will not have any effect in their taxes, but if they sell them, their basis will be the value at the time of divorce.

7 0
4 years ago
XYZ Law Firm provided services for a cllent for $5,000 cash and provided service for another for $10,000 that will pay for the s
Norma-Jean [14]

Answer: The income statement should reflect $15,000.

Explanation: The reason is because accounting procedures are always guided by certain principles or concepts. One of such concepts is the Realization Concept. This simply states that income is considered to have been earned when the goods/services have been dispatched /rendered to the client and the client has incurred liability for such (or has accepted his/her indebtedness). The Accrual Concept is also applicable in the above instance because this concept/principle states that revenues and expenses are recognized as soon as they are earned and incurred and not when money is expended or received. So basically, XYZ Law firm has provided services for two clients. One of them has paid while the other will pay sometime later. Both of them are already recognized as revenue and the current income statement will reflect revenue transactions to the tune of $15,000.

4 0
3 years ago
Hallowell Inc. has free cash flow of $2.5 million and 1.25 million shares outstanding. If you believe the price to cash flow rat
Vaselesa [24]

The highest price for the stock is  $22.00.

<u>Explanation</u>:

 <u>Given</u>:

  • Hallowell Inc has a free cash flow of $2.5 million and 1.25 million shares.
  • The cash flow ratio for the company is 11.

<u>Solution</u>:

For one stock the cash flow ratio is 11.

Then the highest price we should pay is $22.00.

So we should pay $22.00 for one stock.

Therefore the highest price we should pay for the stock is $22.00          

5 0
3 years ago
An investmetn adviser will always be considered to have taken custody if an adviser: is the trustee for the cleint in a trust ac
Talja [164]

Answer:

true (A.  is the trustee for the client in a trust account)

Explanation:

Based on the information provided within the question it can be said that this statement is completely true. This is mainly due to the fact that a trustee can directly deduct management fees from the customer funds. Therefore if the investment adviser is the trustee for the client he is able to have custody over the account and make these deductions.

3 0
3 years ago
Other questions:
  • g "A company with an operating income of $88,000 and a contribution margin ratio of 70% has a margin of safety of: "
    8·1 answer
  • Managers should run a business ethically because
    15·2 answers
  • An economist left her $100,000-a-year teaching position to work full-time in her own consulting business. In the first year, she
    7·1 answer
  • Locating dependable suppliers is part of the ————process?
    13·1 answer
  • The ColorfulFurniture Company manufactures modern wood frame lounge sofas. Currently the company makes only one size of three-se
    13·1 answer
  • The person who does not have representation in a transaction broker relationship is called:
    9·1 answer
  • You just sold stock for $10,000 which you bought two years ago for $5,000. You are also in the 25% income tax bracket. How much
    12·1 answer
  • he credit union will have $1.6 million available for investment during the coming year. State laws and credit union policies imp
    11·1 answer
  • The Pirates of Penzance Company delivers goods to various areas around the world. The company has a great reputation for being p
    14·1 answer
  • In the banking system today, the reserves banks hold against their deposit liabilities must take one of two forms. They are
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!