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3 years ago

Companies that show profits on the income statement will always show positive cash flows from operating activities.

Business

1 answer:

vladimir2022 [97]3 years ago

3 0

Answer:

B. False.

Explanation:

Firstly, explaining a cash flow statement will be explained or tells us how much cash from the business is entering and leaving your business. This is been explained better with the aid of a balance sheets and also income statements; these are practically three most important financial statements that helps effectively in accounts of business management in a small business accounting and making sure you have enough cash to keep operating.

Using a template or probably an excel spreadsheet, the income statement and cash flow statements are been well understood and at this it is totally false to say that companies that show profits on the income statement will always show positive cash flows from operating activities.

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Bond J has a coupon rate of 3 percent and Bond K has a coupon rate of 9 percent. Both bonds have 13 years to maturity, make semi

noname [10]

Solution :

Given :

Coupon rate for Bond J = 3%

Coupon rate for Bond K = 9%

YTM = 6 %

Therefore,

The current price for Bond J = $ 718.54 =PV(6%/2,13x2,30/2,1000)x -1

The current price for Bond K = $ 1281.46 =PV(6%/2,13x2,90/2,1000)x -1

If the interest rate by 2%,

Bond J = $ 583.42 = -18.80% (change in bond price)

Bond K = $ 1083.32 = -15.46% (change in bond price)

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3 years ago

Jane is an employee of Tyco, Inc. and she is in charge of payroll. Every week she issues a check in the name of a fictitious emp

KengaRu [80]

Answer:

b. Tyco is liable because it authorized Jane to issue payroll checks.

Explanation:

There is the company responsibility to put the right person for the specific job. Here in the given situation Jane would not be a liable person for an vital position of the company. in the case when the fraud done by the employee so the firm would be liable as the company provide the authorization to the person who have to perform that job

Therefore, the option b is correct

4 0

3 years ago

Sabrina was bored with her job in a clothing factory

Crank

If she keeps working there she is going to become depressed, so she should find a job that makes her happy

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3 years ago

Read 2 more answers

The senior accountant for Carlton Co., a public company with a complex capital structure, has just finished preparing Carlton's

Misha Larkins [42]

Answer: b. Carlton's income statement will have to be revised to include the earnings per share data

Explanation:

The options to the question are:

a. No changes will have to be made to Carlton's income statement. The income statement is complete without the earnings per share data.

b. Carlton's income statement will have to be revised to include the earnings per share data.

c. Carlton's income statement will only have to be revised to include the earnings per share data if Carlton's market capitalization is greater than $5,000,000.

d. Carlton's income statement will only have to be revised to include the earnings per share data if Carlton's net income for the past two years was greater than $5,000,000.

From the question, we are informed that the senior accountant for Carlton Co., a public company with a complex capital structure, has just finished preparing Carlton's income statement for the current fiscal year and that while reviewing the income statement, Carlton's finance director noticed that the earnings per share data has been omitted.

The changes that will have to be made to Carlton's income statement as a result of the omission of the earnings per share data is that Carlton's income statement will have to be revised to include the earnings per share data.

7 0

3 years ago

Avocado Company has an operating income of $108,000 on revenues of $1,054,000. Average invested assets are $505,000 and Avocado

TEA [102]

Answer:

$67,960

Explanation:

Residual income = Operating income - (Average invested assets * Cost of capital)

Residual income = $108,000 - ($500,500 * 8%)

Residual income = $108,000 - $40,040

Residual income = $67,960

Thus, the residual income is $67,960

5 0

3 years ago