Answer:
Net Cash Flows from Operating Activities Using Indirect Method is $71,825
Explanation:
In Cornelius Inc.:
Increase in Accounts receivable = $17,650 - $11,500 = $6,150
Decrease in Inventory = $27,825 - $33,800 = -$5,975
Increase in Accounts payable = $24,600 - $15,900 = $8,700
Cornelius Inc. uses the indirect method.
Net Cash Flows from Operating Activities = Net Income + Depreciation expense - Increase in Accounts receivable + Decrease in Inventory + Increase in Accounts payable = $52,000 + $11,300 - $6,150 + $5,975 + $8,700 = $71,825
Liquidity preference theory is a theory of demand and supply that is relevant only for the short-run economy.
<h3>What is a short-run economy?</h3>
A short-run economy is a time duration where one input is constant, that is, fixed whereas other inputs tend to change, that is, variable. In that time, the economy of a country variates depending on the duration of a time period.
Liquidity preference theory states that an investor demands a greater premium or rate of interest on those securities which are having longer maturity periods and keeping all the factors unchanged, the investor wants to have readable cash or other assets that can be easily converted into liquid cash. This theory is ideally suitable for a shorter-run economy where demand and supply related to money are balanced by making the rates of interest adjusted in that respect.
Therefore, the short-run economy can apply the theory of liquidity preference.
Learn more about the liquidity preference theory in the related link;
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Answer:
C. $500
Explanation:
According to neoclassical economic theory, the factors of production are paid their marginal product. This payment is called the factor price.
In this case, labor is the factor of production, and the factor price is the wage, therefore, the wage is equal to the marginal product.
If the 10th worker has a marginal product of 10 units of output, and each unit of output is worth $50, then, his wage is:
10 x $50 = $500
Answer:
<h3>Business refers to the organized efforts and activities of individuals to produce and sell goods and services for profit. </h3>
Explanation:
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Answer:
c. identification of the basic appeal for markets
Explanation:
As John is an inexperienced businessman and wants to sell his Zulu doll product, a toy for children who have less than 8 years in every part of the world and want to keep the cost low
So first thing he should do is feasible study whether his product is feasible or not and then identify the market with respect to the price, quality, competitors, etc so that he get a good idea