Answer: False
Explanation:
The Net Income also takes into account cash that has not been paid yet from credit sales as well as other non-cash expenses. It is therefore not a measure of how much cash is available to be distributed to shareholders.
The amount that represents the cash available to distribute to shareholders is called the Free Cash Flow to the Firm (FCFF) and accounts for the actual amount of cash available in the company for disbursement.
Answer:
$414000
Explanation:
Calculation to determine what Net cash provided by operating activities for the year is
Net income $394000
Less Receivable increased ($29000)
Less Accounts payable decreased ($12000)
Add depreciation expense $61000
Net Net cash provided by operating activities $414000
Therefore Net cash provided by operating activities for the year is $414000
Answer: Option B
Explanation: Economic efficiency refers to a situation when all the resources that exist in an economy are allocated in such a way that all the individuals and entities in the economy is getting the maximum utility out of them.
In an efficient economy the surplus of both consumer and supplier are maximum and any increase or decrease in resource allocation will only result in harm of the economy.
Hence from the above we can conclude that the correct option is B.
I think the taxes would decrease but increase for the company
