Answer:
$90,300
Explanation:
As we know that the investing activities of the cash flow statement deals with the purchase and sale of the assets. The purchase of the assets represent the cash outflow and the sale of the asset represent the cash inflow
So according to the given situation the investing activities should report the sale value of the land i.e. $90,300 in a positive amount as it is a cash inflow
Answer: A land contract.
Explanation:
A land contract is a method of property sales where, the seller of the property, finances the sales of his property to the buyer, but keeps possession of the property until the buyer has completed payments on the property's purchase.
Land contract involves the buyer paying by installments for the property until full payment is made.
Answer:
D. $242,200
Explanation:
The variable cost is that cost which is changes when there is a change in the level of production.
It includes the direct material cost, direct labor cost, factory supplies, etc
The computation of the total variable cost is shown below:
= Direct material cost + direct labor cost + packaging cost
= $85,000 + $138,000 + $19,200
= $242,200
Therefore we included these three cost for the calculation of the variable cost
Answer:
DSO is 50.34 days and late payment by 5.34 days
Explanation:
In this question, we use the day's sales outstanding formula which is shown below:
Days sales outstanding = (Accounts receivable ÷ Net credit Sales) × total number of days in a year
= ($60,000 ÷ $435,000) × 365 days
= 0.1379 × 365 days
= 50.34 days
Now, the customer paying early or late equals to
= DSO - Credit period
= 50.34 days - 45 days
= 5.34 days
The amount indicates a positive answer which reflects the late payment
