Answer:
Cash flow from assets = $51,800
Explanation:
Cash flow from assets = Cash flow to Creditors + Cash flow to Shareholders
Cash flow to creditors = Interest Paid – (New loans taken – Paid Loans)
= $28,311 - ($0 - $21,000)
= $28,311 + $21,000
= $49,311
Cash flow to shareholders = Dividends paid – Net new equity
= $27,500 – $25,000
= $2,500
Cash flow from assets = $49,311 + $2,500 = $51,811
Answer:
B. The time spent on the task
Explanation:
The time that Dana spends carrying out her task is a cost to her. That cost can be calculated by ascertaining the gains or benefits she has missed due to the research.
If Dana were not doing the research, she would be engaged in other activities. Those activities could have been of benefit to her, be it financially or otherwise. The benefits foregone are the cost of Dana doing the research.
Answer:
net income = $41752
so correct option is A. $41,752
Explanation:
given data
sales price = $481,600
costs price = $379,700
depreciation expense = $32,100
interest paid = $8,400
The tax rate = 32%
to find out
net income did the firm earn for the period
solution
we get here net income that earn for the period is express as
net income = ( sales price - costs price - depreciation expense - interest paid ) × ( 1 - tax rate ) ......................... 1
put here value we get
net income = ( $481,600 - $379,700 - $32,100 - $8,400 ) × ( 1 - 32% )
net income = $41752
so correct option is A. $41,752
Answer:
Their earnings per share may decrease.
Explanation:
Shareholders of a company may be reluctant to finance expansion through issuing more equity because Their earnings per share may decrease and at the same time debt is always better option to finance.
