Answer:
a. Yum Co. uses cash to repurchase 10% of its common stock. (Financing activity)
b. DigiInk Printing Co. buys new machinery to ramp up its production capacity. (Investing activity)
c. D and W Co. sells its last season’s inventory to a discount store. (Operating activity)
d. A company records a loss of $70,000 on the sale of its outdated inventory. (Operating activity)
Explanation:
Cash flow statement shows how cash is used and obtained in a business. There are different activities that influence cash flow. Below are the activities:
- Operating activities are those that include normal business operations like buying and selling of inventory, interest payments, and salaries.
- Investing activities involves use of cash for investment like purchase or sale of assets, merger and acquisitions payments, and purchase of equipment.
- Financing activities includes cash used to purchase or sell equity such as shares, payment of dividends, and repayment of principal from debt
<h2>
Lean Production Perspective</h2>
Explanation:
There are 6 Business management perspective. They are:
- An ethics perspective
- Strategic management perspective
- Enterprise risk management
- Corporate social responsibility perspective
- A process management perspective
- A leadership perspective
Here the Lean production perspective does not come under the business management perspective.
Lean production actually deals with cutting down of waste and whilst ensuring quality. This approach is basically a cost-cutting approach where it brings benefit to the business. This is one of the most efficient methods.
Answer: c. The project contains simple activity sequences
Explanation:
Gantt chart is a firm of bar chart that depicts a project schedule as it helps in the scheduling of a particular project.
Gantt chart is a graphical tool that helps in showing the activities that are performed against time to the project team or project manager. Gantt charts are effective for project scheduling if such project contains simple activity sequences.
Occasionally, barriers to entry may lead to pure monopoly; in other market conditions, they may limit competition to a few oligopoly firms
<h3>Do barriers to entry exist in a pure monopoly?</h3>
Due to entrance restrictions that deter prospective rivals, firms acquire monopolistic power. Barriers to entry, or conditions that make it difficult or impossible for potential competitors to participate in the market, give monopolies their market strength.
The four main elements of monopoly are: (1) a single business controlling the entire output of a market; (2) a distinctive product; (3) barriers to admission and departure from the industry; and, frequently (4) specialised knowledge about production methods that are not available to other potential producers.
Learn more about monopoly refer
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Answer:
b.1.08.
Explanation:
The computation of the present value index is shown below;
As we know that
Present Value Index = Present value of Net Cash Inflow ÷ Initial Cash outflow
where,
Initial investment = $420,000
And, the present value of net cash inflows are
Year Cash Flow (in $) PVF at 10% Present Value (in $)
1 180,000 0.909 163,620
2 120,000 0.826 99,120
3 100,000 0.751 75,100
4 90,000 0.683 61,470
5 90,000 0.621 55,890
TOTAL 455,200
So, the present value index is
= $455,200 ÷ $420,000
= 1.08