Using the indirect method, the net cash is $93,900
Solution:
Cash flow from Operating Activities
Net Income $85,300
Depreciation Expense $12,000
Gain on Sale of Land ($7,500)
Increase in Merchandise Inventory ($2,050)
Increase in Accounts Payable $6,150
---------------
Net Cash $93,900
Remember:
Increase in current assets (accounts receivables, inventory), it means subtract.
Decrease in current assets, means, add.
Increase in current liabilities (accounts payable, tax liabilities), it means add.
Decrease in current liabilities, means, subtract.
The risk management principle involved in this is decision making.
<u>Explanation:</u>
The processes and the activities that we perform have some risks involved in them. The intensity of risk might differ from one task to the other task. So the risk involved in these tasks and the activities must be managed properly so that the target can be achieved properly.
These are some principles involved in the management of the risk. The principle involved in the task given in the question is that of making a decision which serves the purpose best and helps you to achieve your target. The decision made to cross the river via the bridge is taken after keeping into mind a lot of factors and the decision taken should minimize the risks. Thus it is the principle of the decision making.
Answer:
Correct option is B.
The net benefit of the activity you would have chosen if you had not taken the course
Explanation:
Your opportunity cost of taking this course is <u>the net benefit of the activity you would have chosen if you had not taken the course
</u>
Opportunity cost is what you must sacrifice when you choose an activity. By taking this course, you are sacrificing the benefit you could have obtained from the activity you would have chosen if you had not taken the course.
Operations, Investing and Financing are the three activities according to which a statement of cash flows is organized.
Cash flow refers to the net balance of cash moving into and out of a business at a specific point in time. Cash is consistently moving into and out of a business.
For example- When a retailer purchases inventory, money flows out of the business toward their suppliers.
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Answer:
Option 1 is correct.
Explanation:
Law of supply indicates that there is a positive relationship between the price of a commodity and the quantity supplied of that commodity. This means that an increase in the price of a commodity then as a result there is an increase in the quantity supplied of that commodity because it will become more profitable for the producers to produce more and supply more.
