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lapo4ka [179]
3 years ago
6

Which of the following is a common finding in looking at the statement of cash flows of a declining company?

Business
1 answer:
mario62 [17]3 years ago
5 0

Answer:

These are the options for the question:

a) A negative cash flow from operating activities

b) A negative cash flow from investing activities

c) A significant positive cash flow from financing activities

And this is the correct answer:

a) A negative cash flow from operating activities

Explanation:

Declining companies are characterized by a lack of revenue from regular operating activities.

If cash flow from operating activities is negative, it means that the company is not making enough money to meet its obligations, and that will likely cease to exist in the near future unless big changes happen.

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All of the following statements regarding a limited partnership subscription agreement are true except
USPshnik [31]

*A limited partner's signature on the subscription agreement grants the general partner power of attorney to conduct the partnership's affairs. The subscription agreement for a limited partnership is deemed accepted when the general partner signs the subscription agreement.

<h3>What is a subscription agreement for a limited partnership?</h3>

The subscription agreement, when executed by a limited partner, gives the general partner the authority to manage the business of the partnership. When the general partner signs the subscription agreement, it is considered approved for a limited partnership.

<h3>What does the general partner's signature on the subscription agreement mean?</h3>

The limited partners are given authority to manage the partnership's affairs by the general partner's signature. The subscription agreement, when executed by a limited partner, gives the general partner the authority to manage the business of the partnership.

<h3>What is a recourse note in a limited partnership?</h3>

Recourse notes obligate the limited partner to make payments regardless of what transpires. He is legally responsible for the $40,000, making his tax base and possible maximum loss $50,000.

A) manage partnership assets on behalf of the partnership as an agent. B) offer the limited partnership real estate.

Learn more about Limited partnership:

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4 0
2 years ago
interest cost (the increase in pension costs due to the passage of time), the expected return on plan assets (the amount that ma
marishachu [46]

Answer:

The change in operating income for GM is that the operating income will increase by the amount of other pension costs less expected returns.

However, this change will not affect the net income, as all the items will still be accounted for, accordingly.

Explanation:

GM's pension service cost is the present value of the amount that the GM is required by law to set aside annually to meet its employees' pension-benefits obligations.  The reason for the separation is that the service cost is a compensation cost, whereas other pension costs are financial costs and not compensation costs.  By this separation, the operating income of GM will increase.

3 0
2 years ago
Gross income minus any adjustments, deductions, and exemptions is known as
puteri [66]
That would be known as taxable income

4 0
3 years ago
Read 2 more answers
At the end of the year, Sheffield Co. has pretax financial income of $616,000. Included in the $616,000 is $78,400 interest inco
SVEN [57.7K]

Answer:

$173,820

Explanation:

pretax financial income $616,000

- interest income on municipal bonds ($78,400)

+ depreciation ($67,200 - $50,400) = $16,800

+ fine for dumping hazardous materials $25,000

taxable income = $579,400

income taxes payable = $579,400 x 30% = $173,820

Fines are not tax deductible, and since depreciation for tax purposes is lower than accounting depreciation, you must add them. But since municipal bonds are not taxable, they must be subtracted.

3 0
3 years ago
The incidence of a tax is determined by which group (buyers or sellers) must actually pay the government. When demand is inelast
Bezzdna [24]

Answer:

The incidence of a tax is determined by which group (buyers or sellers) must actually pay the government. FALSE, the real effect of taxes is measured by the price elasticity of the demand and the supply.

When demand is inelastic and supply is elastic, the burden of a tax falls mainly on producers. FALSE, when the price elasticity of demand is inelastic and the price elasticity of supply is elastic, the burden of tax falls mainly on the consumers.

When demand is elastic and supply is inelastic, the burden of a tax falls mainly on consumers. FALSE, when the price elasticity of demand is elastic and the price elasticity of supply is inelastic, the burden of tax falls mainly on the suppliers.

An excise tax can distort incentives and create missed opportunities for mutually beneficial transactions. TRUE

5 0
2 years ago
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