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3 years ago

The first step in creating a cash flow statement is which of the following?

Business

1 answer:

yKpoI14uk [10]3 years ago

3 0

Answer:

C. Recording Income.

Explanation:

The first step to prepare a cash flow statement is to show the Net Income of that company. It is an operating cash flow activities, one of three activities of cash flow statement.

Answer Choice A can not be the answer as the company cannot record any goals in cash flow because cash flow is a statement of cash inflow and outflow.

Answer choice B cannot be the answer as expenses are not shown in the cash flow statement either (If indirect method). However, after adjusting prepaid and advance or paid to suppliers are shown below the noncash account.

Answer choice D is not an option as tax information can be shown only if they are accrued or prepaid.

Therefore, C is the correct answer.

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Marcelino Co.'s March 31 inventory of raw materials is $80,000. Raw materials purchases in April are $540,000, and factory payro

vovangra [49]

Answer:

See below

Explanation:

Marcelino Co's total cost of each production incurred in April

From March

Job306 Job307 job308

Direct materials $28,000 $39,000

Direct labor $23,000 $17,000

Applied overhead $11,500 $8,500

(50% of direct labor)

Beginning goods in process $52,500 $64,500 ---

For April:

Direct materials $139,000 $220,000 $110,000

Direct labor $103,000 $153,000 $104,000

Applied overhead $51,500 $76,500 $52,000

(50% of direct labor)

Total cost added in April $293,500 $449,500 $266,000

Total costs(April 30) $346,000

$514,000 $266,000

3 0

3 years ago

A ________ is a retail firm owned by its customers. Members contribute money to open their own store, vote on its policies, elec

myrzilka [38]

Answer:

A consumer co-operative

Explanation:

A consumer co-operative is a type of retail business owned by an association of consumers. The consumers who form the venture manage it and share in its profits. The main objective of starting a consumer co-operative is to eliminate intermediaries.

A consumer co-operative has the benefit of economies of scale as it purchases in bulk. It can afford to offer its members more competitive prices. Members of the co-operative share profits in the ratio of capital contribution. Their liability is limited to share contribution. Membership is voluntary, and they usually transact on a cash basis.

3 0

3 years ago

How is creative thinking similar to a child’s thinking? A. Neither process restricts itself to logical solutions. B. Both though

-BARSIC- [3]

Answer: D. Both thought processes are linear

Explanation: I think I'm not too certain.

5 0

2 years ago

One reason to buy a home instead of rent a home is:

Effectus [21]

Less money up front equals it to be better than renting an appartment

3 0

3 years ago

Read 2 more answers

The cost for a carton of milk is $3, and it is sold for $5. When the milk expires, it is thrown out. You also know that the mean

svetlana [45]

Answer:

a) $3

b) $2

c) 1449

Explanation:

Given:

The cost for a carton of milk = $3

Selling price for a carton of milk = $5

Salvage value = $0 [since When the milk expires, it is thrown out ]3

Mean of historical monthly demand = 1,500

Standard deviation = 200

Now,

a) cost of overstocking = Cost for a carton of milk - Salvage value

= $3 - $0

= $3

cost of under-stocking = Selling price - cost for a carton of milk

= $5 - $3

= $2

b) critical ratio = $\frac{\textup{cost of under-stocking }}{\textup{cost of overstocking + cost of under-stocking }}$

critical ratio = $\frac{\textup{2}}{\textup{3 + 2}}$

critical ratio = 0.4

c) optimal quantity of milk cartons = Mean + ( z × standard deviation )

here, z is the z-score for the critical ration of 0.4

we know

z-score(0.4) = -0.253

thus,

optimal quantity of milk cartons = 1,500 + ( -0.253 × 200 )

= 1500 - 50.6

= 1449.4 ≈ 1449 units

4 0

3 years ago