1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
levacccp [35]
3 years ago
8

Each of the following would be reported under operating activities except Select one: a. cash payments for interest expense. b.

cash receipts from sales of goods. c. cash receipts of dividends. d. cash receipts from sales of investments. e. cash receipts from interest on loans.
Business
2 answers:
Misha Larkins [42]3 years ago
7 0

Answer:

cash receipts from sales of investments.

Explanation:

Operating activities are defined as activities that creates revenue and expenses in a business, and so are used to determine if a business is making a profit or loss. It includes activities directly related to providing goods and services to the consumer.

Cash reciepts form sale of investment such as stocks and bonds is classified as an investing activity. It is a positive investing activity because it involves inflow of cash.

This is not classified as an operating activity.

tatiyna3 years ago
6 0

Answer:

d. cash receipts from sales of investments.

Explanation:

The cash flow statement categories the company's transactions in a financial period into 3 groups; these are operating, investing and financing.

The net profit/loss, depreciation, changes in current assets (other than cash) and liabilities are considered as operating activities including income taxes.  

The sale of assets, purchase/sale of investments are examples of investing activities while the issuance of stocks, debt principal deduction (loan settlement), issuance of debt securities etc are examples of financing activities.

As such, option d. cash receipts from sales of investments is an investing activity.

You might be interested in
The cash coverage ratio is used to evaluate the:Liquidity of a firmSpeed at which a firm generates cashLength of time that a fir
Studentka2010 [4]

Answer:

The correct answer is letter "C": Ability of a firm to pay the interest on its debt.

Explanation:

The cash coverage ratio is a metric that measures a company's ability to pay its financial obligations. Generally, the higher the coverage ratio the better for the business to meet its debt obligations. It is best to compare coverage ratios of companies in the same industry or sector in the economy. Comparisons across industries are not useful as companies in different industries use debt in different ways.

5 0
3 years ago
Given the following information, prepare an income statement for the Dental Drilling Company.
dmitriy555 [2]

Answer:

Results are below.

Explanation:

<u>Giving the following information:</u>

Selling and administrative expense $90,000

Depreciation expense 75,000

Sales 621,000

Interest expense 46,000

Cost of goods sold 231,000

Taxes 50,000

<u>With the information listed above, we need to make an income statement following the structure below:</u>

<u></u>

Sales= 621,000

COGS= (231,000)

Gross profit= 390,000

Selling and administrative expense= (90,000)

Depreciation expense= (75,000)

Interest expense= (46,000)

Eearning before taxes (EBT)= 179,000

Taxes= (50,000)

Net operating income= 129,000

8 0
3 years ago
A company had net sales of $660,000, total sales of $810,000, and an average accounts receivable of $78,000. Its accounts receiv
qwelly [4]
About 78,000 until the turn over
5 0
3 years ago
As a general rule, a product ________ strategy seems to work best when the consumer target market for the product is alike acros
vodomira [7]

Answer:

The correct answer is letter "B": product extension.

Explanation:

In International Business, product extension refers to the approach by which a  firm introduces its product or service across borders without shaping the product according to the profile of each consumer in each region. Product extension is implemented to expand the business operations of a firm in an attempt of finding new consumers in new markets, thus, generating more profit.

<em>Product extension is likely to work only if customers' preferences and necessities are the same in different countries.</em>

7 0
3 years ago
Riverbed Corp has 8,400 shares of common stock outstanding. It declares a $5 per share cash dividend on November 1 to stockholde
Paha777 [63]

Answer:

Date       Account Titles and Explanation        Debit           Credit

1-Nov     Cash Dividends                             $42,000

              (8,400 shares x $5)

             Dividends Payable                                                   $42,000

             (To record dividends payable)  

1-Dec      No entry on this date

31-Dec     Dividends Payable                     $42,000  

                Cash                                                                        $42,000

            (To record payment of cash dividend)  

4 0
3 years ago
Other questions:
  • Daniel is planning to earn money over the summer mowing lawns in the neighborhood to buy a scooter. The scooter he wants costs $
    9·1 answer
  • What is a saturated market like for sellers
    7·1 answer
  • While on a hike with a tour group in the mountains, Derek gets mauled by a bear. No previous reports of bears in the area had be
    11·1 answer
  • TRUE or FALSE. Big spenders are also known as low yield tourists, because they typically expect air conditioned hotels with Engl
    8·2 answers
  • Suppose you have a machine which executes a program consisting of 60% floating point multiply, 20% floating point divide, and th
    5·1 answer
  • What is the best definition of profit?
    15·2 answers
  • In the circular flow model, who supplies factors of production in exchange for income?
    14·1 answer
  • Free enterprise system → A system in which businesses may buy, sell, and set prices with little government control
    7·2 answers
  • Match the appropriate definition with the appropriate term.
    12·1 answer
  • Which of the following is a key characteristic of economic freedom?
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!