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loris [4]
3 years ago
15

If a gain of $5,278 is realized in selling (for cash) office equipment having a book value of $50,852, find the total amount rep

orted in the cash flows from investing activities section of the statement of cash flows.
A) $5,278
B) $56,130
C) $50,852
D) $45,574
Business
1 answer:
Alina [70]3 years ago
6 0

Answer:

B) $56,130

Explanation:

The cash flow statement shows how the company's operating, investing and financing activities affect the flow of cash by generation or use.

The investing activities section is where the purchase of fixed assets and the amount received for the disposal of these assets are accounted for.

Given that a gain was realized and the book value of  the asset was given, the amount received for the disposal

= $5,278 + $50,852

= $56,130

This is the amount that will be reported in the investing activities section of the statement of cash flows as an inflow.

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If a company uses the balance sheet approach to estimate bad debt expense, bad debt expense for a period can be determined by: M
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Answer: d. Taking the difference between the unadjusted balance in the allowance account and the desired balance of the allowance account.

Explanation: Bad debt expense is an unfortunate cost of doing business with customers on credit and recognizing bad debts leads to an offsetting reduction to accounts receivable on the balance sheet.

The balance-sheet approach for estimating bad debts expresses uncollectible accounts as a percentage of accounts receivable. That is, it takes the difference between the current balance of allowance for doubtful accounts and the amount calculated.

Therefore, if a company uses the balance sheet approach to estimate bad debt expense, bad debt expense for a period can be determined by taking the difference between the unadjusted balance in the allowance account and the desired balance of the allowance account.

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2 years ago
Upon beginning her career at davidson inc., a small consulting firm, stephanie benjamin receives a copy of the firm's organizati
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Upon beginning her career at Davidson inc., a small consulting firm, Stephanie Benjamin receives a copy of the firm's organization chart, which will clarify positions and reporting relationships within the firm. Correct answer: B
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6 0
3 years ago
A concentration ratio indicates the:
MaRussiya [10]

Answer:

The correct answer is letter "A": number of firms in an industry.

Explanation:

A concentration ratio measures the number of competitors within the same industry. The lowest concentration ratio of a firm, it represents there are more market rivals. The highest the concentration ratio, the lower the number of competitors of the firm. The ratio is expressed in percentage terms. A firm having a 100% concentration ratio is a monopoly.

8 0
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What causes cost-push inflation
aleksandr82 [10.1K]

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5 0
3 years ago
Meiji Isetan Corp. of Japan has two regional divisions with headquarters in Osaka and Yokohama. Selected data on the two divisio
abruzzese [7]

Answer:

Please check the info below

Explanation:

1. For Osaka

Margin =  Net Operating Income / Sales *100

= $ 792000 / $9900000 *100

= 8.00%

Turnover = Sales / Average Operating Assets * 100

= $ 9900000 / $ 2475000 * 100

= 4.00%

ROI =  Margin * Turnover

= 8% *4 %

= 32.00%

Hence the correct answer is 32.00%

For Yokohama :

Margin =  Net Operating Income / Sales *100

= $ 2900000 / $ 29000000*100

= 10.00%

Turnover = Sales / Average Operating Assets * 100

= $ 29000000 / $ 14500000* 100

= 2.00%

ROI =  Margin * Turnover

= 10% *2 %

= 20.00%

Hence the correct answer is 20.00%

2. The correct answer is  

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Yokohama = $ 435,000

3. The correct answer is No

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4 0
3 years ago
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