If i have a website that sells running shoes, i should map the keyword phrase "asics gel kayano 20" to

Finding operating and free cash flows Consider the following balance sheets and selected data from the income statement of Keith

Reil [10]

Answer:

a. NOPAT = EBIT * (1-t)

NOPAT = $2,700 * (1-0.40)

NOPAT = $1,620

b. OCF = NOPAT + Depreciation

OCF = $1,620 + $1,600

OCF = $3,220

c. FCF = Net fixed asset investment - Net current asset investment

FCF = $3,320 - $1,400 - $1,400

FCF = $420

Note:

Net fixed asset investment = Change in net fixed assets + depreciation

= ($14,800- $ 15,000) + $1,600

= $1,400

Net current asset investment = Change in current assets - Change in accounts payable and accurals

= ($8,200 - $6,800) - {($1,600 + $200) - ($1,500 - $300)}

= $1,400

d. FCF is meaningful as it shows that OCF is able to cover Operating expenses as well as Investment in Fixed and Current Assets

4 0

3 years ago

Ann and Bob form Robin Corporation. Ann transfers property worth $420,000 (basis of $150,000) for 7 share in Robin Corporation.

Art [367]

Answer:

Explanation:

1. Ann does not recognize gain.

Bob gains 15,000 for his service

2. Ann has a basis of 150,000 and Bob has a basis of 45,000(30,000+15,000)

3. Robin Corportaion has a basis of 150,000 in the property Ann transferred and a basis of 30,000 in the property Bob transferred.

3 0

3 years ago

Following are the transactions of Sustain Company.

MrMuchimi

Answer:

Jun-01

Dr Cash 18,500

Cr Common Stock T. James 18,500

Jun-02

Dr Furniture 11,500

Cr Account Payable 11,500

Jun-03

Dr Prepaid Insurance 2,100

Cr Cash 2,100

Jun-04

Dr Account Receivable 10,500

Cr Sales 10,500

Jun-12

Dr Account Payable 11,500

Cr Cash 11,500

Jun-20

Dr Cash 10,500

Cr Account Receivable 10,500

Jun-21

Dr Cash 17,500

Cr Common Stock T. James 17,500

Jun-30

Dr Cash 12,500

Cr Unearned Income 12,500

Explanation:

Preparation of Journal entries

Jun-01

Dr Cash 18,500

Cr Common Stock T. James 18,500

(Invested $18,500 as capital contribution)

Jun-02

Dr Furniture 11,500

Cr Account Payable 11,500

(Purchased furniture on credit)

Jun-03

Dr Prepaid Insurance 2,100

Cr Cash 2,100

(Cash Paid for 12 month insurance)

Jun-04

Dr Account Receivable 10,500

Cr Sales 10,500

(Billed customer )

Jun-12

Dr Account Payable 11,500

Cr Cash 11,500

(Cash paid to reclaimed wood)

Jun-20

Dr Cash 10,500

Cr Account Receivable 10,500

(Cash collected form customer)

Jun-21

Dr Cash 17,500

Cr Common Stock T. James 17,500

(Addition capital contribution)

Jun-30

Dr Cash 12,500

Cr Unearned Income 12,500

(Received advance for service to be performed)

8 0

3 years ago

The basic idea behind moral hazard is that ________.

Kobotan [32]

Answer: people tend to take more risks if they do not have to bear the costs of their behavior

Explanation:

Moral hazard is a form of reckless behavior by an individual who doesn't directly bear the cost of the reckless behavior.

Moral hazard takes several forms like the examples of : polluting waters with chemicals, throwing refuse into drainage, mismanagement of public amenities.

3 0

3 years ago

The difference between the willingness to pay for a good and the price that is paid to get it is

JulijaS [17]

Answer:

Consumer surplus

Explanation:

The consumer surplus is a measure of the difference between the price a consumer is willing to pay for a unit of a product and the price they actually pay for that product unit.

If a consumer is willing to to pay a higher amount than the actual selling price of a product, it is deduced that the consumer surplus for that product, is higher than if the consumer were charged for the product at his highest willingness point to pay.

5 0

3 years ago