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Mrac [35]
3 years ago
5

If the direct method is used to report cash flows from operating activities in the body of the statement of cash flows, a reconc

iliation of net income to net cash flows from operating activities also is required. True or False
Business
1 answer:
aksik [14]3 years ago
6 0

Answer:

True

Explanation:

"If the direct method is used to report cash flows from operating activities in the body of the statement of cash flows, a reconciliation of net income to net cash flows from operating activities also is required" is a true statement.

In the field of finance, a report of cash flow is a statement that has the entire information related to the cash flow. It consists of all the data related to the inflow and outflow of cash and reports the analysis of how the financial activities have effected the overall balance of the statement and what needs to be done in the future.

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Wireless communications is likely to be viewed as an essential part of an enterprise network infrastructure when:
erica [24]
Wireless communications is likely to be viewed as an essential part of an enterprise network infrastructure when communication must take place in a difficult terrain where wired communication is difficult or impossible to build. 

4 0
3 years ago
DLW, Inc just started its business. DLW purchased factory equipment for $800,000 on January 1. It is estimated that the equipmen
igor_vitrenko [27]

Answer:

Annual depreciation= $77,000

Explanation:

Giving the following information:

Purchase price= $800,000

Salvage value= $30,000

Useful life= 10 year

Under the straight-line method of depreciation, the depreciation expense is constant along the useful life.

We need to use the following formula:

Annual depreciation= (original cost - salvage value)/estimated life (years)

Annual depreciation= (800,000 - 30,000)/10

Annual depreciation= $77,000

6 0
4 years ago
By paraphrasing, an individual is:
natita [175]
By paraphrasing, an individual is:
ANSWER C. Putting another person's idea into different words or context
6 0
3 years ago
Read 2 more answers
Divine plc is a pure-honey producing plant. The firm wants to replace its aging processing machine. One option is to purchase a
AleksAgata [21]

Answer:

Project A

Years      Cashflows     Discount factor     Present values

0            250,000                    1                           -250,000

1-10            45,100                   6.144                     277,094.40

Sum of all present value=NPV=27,094.40

IRR (by using trial and error method) = 12.4696%

Note: Discount factor for the year 1-10 is calculated by using annuity formula i.e [1-(1+10%)]/10% = 6.144

Project B

Years Cashflows Discount factor  Present values

0        (350,000)           1                              (350,000)

1           72,500               0.91                   65,975  

2           65,500               0.83                    54,365  

3           73,800                  0.75                    55,350  

4            71,500                  0.68                    48,620  

5           69,800                  0.62                   43,276  

6           75,500             0.56                   42,280  

7           31,000                  0.51                            15,810  

8           47,500                  0.47                           22,325  

9           55,500                  0.42                   23,310  

10           29,200                  0.38                    11,096

Sum of all present values=NPV=32,407

IRR(by using trial and error method=12.4186%

On the basis of NPV project B is better because it gives higher NPV than project A. Whereas, Project A is better than project B on the basis of IRR because project A has slightly higher IRR than project B.

b)The conflict between both the investment appraisal technique is likely due to different cash flow patterns of both the project. In such situation decision should be based on NPV because this is an absolute measure

5 0
4 years ago
Read 2 more answers
In an enterprise resource planning (ERP) system, the _____ component provides information on production costs and pricing.
posledela

Answer: manufacturing

Explanation:

In an enterprise resource planning (ERP) system, the manufacturing component provides information on production costs and pricing.

Enterprise Resource Planning is the gathering and organization of business data by using an integrated software suite.

It should be noted that ERP software typically contains applications that helps in automating certain business functions such as sales quoting, production, accounting etc

5 0
4 years ago
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