Answer:
$620,000
Explanation:
to determine the net cash flow generated by the project, we can use the indirect method to determine cash flows:
net income = $790,000 x (1 - 30%) = $553,000
net income adjustments:
- depreciation expense $190,000
- increase in accounts payable $42,000
- increase in accounts receivable ($79,000)
- increase in inventory <u> ($86,000) </u>
Project's cash flow $620,000
Without the With the change
project project
Accounts receivable $5,000 $84,000 $79,000
Inventory $98,000 $184,000 $86,000
Accounts payable $75,000 $117,000 $42,000
Answer:
b) increase; fall; rises
Explanation:
Federal budget comes from tax revenues and was drained by transfer payments.
In a recession, firms go out of businesses and people don't spend much. There will be less tax on goods and firms' profits. On the other hand, more people become unemployed and become entitled to receiving transfer payments.
It's D. Increasing the reserve requirement on banks
Answer:
$31,000
Explanation:
The computation of the cash collected from customers is shown below:
Cash collected from customers = Sales + Decrease in accounts receivable
= $30,000 + $1,000
= $31,000
We simply added the sales and the Decrease in accounts receivable so that the accurate amount can come
All other information which is given is not relevant. Hence, ignored it
Answer:
Just-in-time (JIT) inventory systems started in Japan in the 1970s and spread to the U.S. about a decade later. JIT is an inventory-management system that aims to help businesses have just enough inventory readily available to meet current demand while avoiding excess. There are many pros and cons for a small business to consider before adopting a JIT system.