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3 years ago

Cash flows from investing activities include all of the following except:

Business

1 answer:

astra-53 [7]3 years ago

5 0

Answer:

(D) Cash proceeds from borrowing

Explanation:

Basically there are three types of activities:

1. Operating activities: It includes those transactions which affect the working capital, and it records transactions of cash receipts and cash payments.

2. Investing activities: It records those activities which include purchase and sale of the fixed assets. It also includes collections on loans and Cash advance to borrowers

3. Financing activities: It records those activities which affect the long term liability and shareholder equity balance.

Options A, B, and C are the investing activities whereas option D is financing activities.

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Nash Incorporated factored $156,000 of accounts receivable with Crane Factors Inc. on a without-recourse basis. Crane assesses a

ella [17]

Answer:

Nash Incorporated,

Dr Cash $143,520

Dr Due from Factor $9,360

Dr Loss on Sale of Receivables $3,120

Cr Accounts Receivable $156,000

Crane Factors

Dr Accounts Receivable $156,000,

Cr Due to Customer Nash $9,360

Cr Interest Revenue $3,120

Cr Cash $143,520

Explanation:

Preparation of the journal entry for Nash Incorporated and Crane Factors to record the factoring of the accounts receivable to Crane.

Nash Incorporated,

Dr Cash $143,520

($156,000-$9,360-$3,120)

Dr Due from Factor $9,360

(6%*$156,000)

Dr Loss on Sale of Receivables $3,120

(2%*156,000)

Cr Accounts Receivable $156,000,

Crane Factors

Dr Accounts Receivable $156,000,

Cr Due to Customer Nash $9,360

(6%*$156,000)

Cr Interest Revenue $3,120

(2%*156,000),

Cr Cash $143,520

($156,000-$9,360-$3,120)

8 0

2 years ago

A trucking company sold its fleet of trucks for $56,800. The trucks originally cost $1,496,000 and had Accumulated Depreciation

MatroZZZ [7]

Answer:

the trucking company recorded a loss on disposal of $152,200 when it sold the fleet of trucks.

Explanation:

Open the Truck Disposal T-Account as Follows:

Debits :

Cost $1,496,000

Totals $1,496,000

Credits:

Cash Receipt $56,800

Accumulated Depreciation $1,287,000

Profit and Loss (Balancing figure) $152,200

Totals $1,496,000

Therefore, there was a loss on disposal of $152,200

5 0

3 years ago

Read 2 more answers

Inc. (WFI). After liquidating its remaining inventory and paying off its remaining liabilities, WFI had the following tax accoun

Montano1993 [528]

Answer:

On the transfer of the building,

Appreciation of building = FMV - Adjusted Basis

= $50,000 - $10,000

= $40,000

WFI has taxable transaction and gain recognition of $40,000.

On the transfer of the land,

Appreciation of land = FMV - Adjusted Basis

= $150,000 - $90,000

= $60,000

WFI has taxable transaction and gain recognition of $60,000.

5 0

3 years ago

Exercise 7-6 presented below is information from metlock computers incorporated. july 1 sold $26,200 of computers to robertson c

solmaris [256]

these sales. 10 metlock received payment from robertson for the full amount owed from the july transactions. 17 sold $274,000 in computers and peripherals to the clark store with terms of 2/10, n/30. 30 the clark store paid metlock for its purchase of july 17. prepare the necessary journal entries for metlock computers. (if no entry is required, select "no entry" for the account titles and enter 0 for the amounts. credit account titles are automatically indented when the amount is entered. do not indent manually.)

4 0

3 years ago

Shorter Company had originally expected to earn an operating income of $130,000 in the coming year. Shorter's degree of operatin

Snowcat [4.5K]

Answer:

$192,400

Explanation:

Shorter Company

$130,000 + (0.48 * $130,000)

=$130,000+$62,400

= $192,400

Therefore Shorter's revised expected operating income for the coming year will be $192,400

8 0

3 years ago