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muminat
3 years ago
14

Cash flows from investing do not include cash flows from: Multiple Choice lending money to another corporation. the sale of equi

pment. borrowing. the purchase of other corporation's securities.
Business
2 answers:
Nuetrik [128]3 years ago
7 0

Cash flows from investing do not include cash flows from : Borrowing.

<h3><u>Explanation:</u></h3>

The cash flows either inward or outward of any company refers to the Cash flow from investing activities. The long term usage of cash will be considered under this. The investing activities includes the following such as purchasing a fixed asset, selling a fixed asset. These assets includes any property, plants, equipment,etc.

The cash flows are associated with the generation or spending of amount in the investing activities. This is a section that is included in the cash flow statement of an organisation. Thus, the cash flows for investing activities will not include the cash flows from Borrowing.

Ivanshal [37]3 years ago
7 0

Cash flows from investing do not include cash flows from Multiple choice lending money to another corporation.

Explanation:

The cash flow statements include only the inflow and outflow statements of cash. They do not include the transactions that directly affect the cash receipts and payments.

The cash flows in the companies are increased by improving the efficiency through which they manage the current assets and liabilities.

Cash flow operations are affected if the balance of an asset increases the cash flow from operations will decrease and if the balance of an asset decreases, then the cash flow from operations will increase and if the balance of a liability increases then the cash flow from operations will increase and if liability decreases then the cash flow will decrease.

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Saturation has been reached.

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During the past six months, Ben sold goods that cost $43,500, his
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Answer:

for this problem the answer would be A. 3.08

Explanation:

Add the expenses and freight (3,500+1,750)

Subtract that from 43,500 (43,500-5250 which equals 38,250). Divide 38,250 by 12,400.

38,250÷12,400=3.08

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3 years ago
Morgan Sondgeroth Inc. began operations in January 2018 and reported the following results for each of its 3 years of operations
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Answer:

Part A) Book Value = $1,080,000

Part B) Book Value = $1,050,000

Explanation:

Part 1: To compute the book value of the common stock at December 31, 2020

To do this, we consider both the preferred and common stock values as follows:

Stockholder's equity:

<u>Preferred Stock = $500,000</u>

<u>Common stock = $750,000</u>

Retained earnings: To calculate retained earnings we need to deduct dividends in arrears to prefered stock holders and then ascribe the remaining value to retained earnings.

Dividend in Arrears= 3 years @ 8% interest per year

= 500,000 x 0.08 x 3= $120,000

<u>Remaining earnings for available to common share holders </u>

= Retained earnings balance- dividend paid to prferred stock holders.

=$800,000 (net income for 2020)- $40,000 (net loss for 2019) - $260,000 (net loss for 2018)

= $800,000-$40,000-$260,000

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= $500,000- $120,000

= $380,000

<u>Book Value of Stockholders' equity</u>

Common Stock equity + Balance of retained earnings

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The book value per share = $1,080,000/ outstanding shares

= $1,080,000/750,000= $1.44

Part 2: To compute the book value of the common stock at December 31, 2020 Preference stock has liquidating value of $106 per share

Stockholder's equity:

<u>Preferred Stock = $500,000</u>

Preferred stock liquidating premium = (106-100) x 5000

= $6 x 5000= $30,000

<u>Common stock = $750,000</u>

Retained earnings: To calculate retained earnings we need to deduct dividends in arrears to prefered stock holders and then ascribe the remaining value to retained earnings.

Dividend in Arrears= 3 years @ 8% interest per year

= 500,000 x 0.08 x 3= $120,000

<u>Remaining earnings for available to common share holders </u>

= Retained earnings balance- net losses from previous years - dividend paid to prferred stock holders - liquadating premium to preferred stock

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= $800,000-$40,000-$260,000

= $500,000 - Dividend in arrears - liquidating

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<u>Book Value of Stockholders' equity</u>

Common Stock equity + Balance of retained earnings

= $700,000 + $350,000

= $1,050,000

The book value per share = $1,080,000/ outstanding shares

= $1,050,000/750,000= $1.4

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Answer:

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