Answer:
Zero based budgeting
Explanation:
Zero-based budgeting is a process of developing budget estimates by requiring managers to estimate sales, production, and other operating data as though operations were being initiated for the first time.
It is time consuming compared to other method of budgeting ( traditional).
Zero-based budgeting (ZBB) is a method of budgeting where income less expenditure is equal to zero.
It is a budgeting in which all expenses must be justified for each new period. It is detail-oriented.
Zero-based budgeting can be used to lower costs by avoiding blanket increases or decreases to a prior period's budget.
zero-based budgeting may be a rolling process done over several years.
Answer:
Statement of stockholders' equity
at the end of the year (December 31)
<u>Common Stock</u> <u>Retained Earning</u> <u>Total</u>
Opening Balance $12,000 $7,100 $19,100
Income for the year $7400 $7400
Dividend Paid ($2,100) ($2,100)
Common stock issuance <u> $6,900 </u> <u> </u> <u> $6900 </u>
End of the year Balance $18,900 $12,400 $31300
Answer:
$240
Explanation:
The computation of the cash flows from investing activities is shown below:
Cash flow from investing activities
Purchased of used equipment -$240
Sale of investment $480
Cash flow provided by investing activities $240
The purchase of used equipment is a cash outflow therefore it is represented in a negative sign while on the other hand sale of investment is cash inflow so the same is presented in a positive sign
Answer:
E) A sharp increase in its forecasted sales.
Explanation:
Haven developed a forecasting model to estimate its AFN for the upcoming year, F. Marston, Inc. would have an increase in the additional funds needed (AFN) due to the sharp increase in its forecasted sales.
An increase in sales translates to an increased cash flow and profits.
