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
Cloud [144]
3 years ago
6

The 2017 balance sheet of Kerber’s Tennis Shop, Inc., showed long-term debt of $1.87 million, and the 2018 balance sheet showed

long-term debt of $2.21 million. The 2018 income statement showed an interest expense of $255,000. What was the firm’s cash flow to creditors during 2018?
Business
2 answers:
bezimeni [28]3 years ago
8 0

Answer:

Cash flow to creditors in 2018 is −$85,000

Explanation:

2017 balance sheet of Kerber’s Tennis Shop, Inc is recorded as

Interest paid............................................................................$255,000

Less:

long-term debt in 2018.........................................................$2.21 million

Less: long-term debt brought forward from 2017..........$1.87 million

Total (taken as net new borrowing)...................................$340,000

Cash flow to creditors = 2018 Interest expense less net new borrowing

= $255,000 - $340,000

= −$85,000

REY [17]3 years ago
5 0

Answer:

The cash flow for Kerber's tennis shop for the year 2018 to creditor's is -$85,000

Explanation:

Balance sheet of Kerber’s Tennis Shop for 2017, Inc is recorded as follows

Given that.

Interest paid = $255,000

Less:

long-term debt in 2018$ = 2.21 million

Less:

long-term debt brought forward from 2017 = $1,870,000 million

Total (taken as net new borrowing)

= $2,210,000- $1,870,000

= $340,000

Cash flow to creditors = 2018 Interest expense less net new borrowing

= $255,000 - $340,000

= −$85,000

We have -$85,000 as the cash flow to creditors during 2018

You might be interested in
2. On January 2, 2017, heavy equipment costing $800,000 was purchased. The equipment had a life of 5 years and no salvage value.
Naddika [18.5K]

Answer:

The solution to the given problem is done below.

Explanation:

(a)            Depreciation

            for Financial              Depreciation for Temporary

Year         Reporting Purposes           Tax Purposes            Difference

2017           $160,000                          $264,000          (104,000)

2018           $160,000                          $360,000          (200,000)

2019           $160,000                           $120,000            40,000

2020           $160,000                           $56,000            104,000

2021                  $160,000                                      0                        $160,000

                         $800,000                            $800,000                   0

(b)                        2018       2019          2020         2021           Total  

Future taxable

amounts:

Depreciation     $(200,000)      $40,000      104,000    $160,000    $104,000

Deferred tax liability: $104,000 × 40% = $41,600 at the end of 2017.

8 0
3 years ago
Without _____, no company can survive over the long run.
yuradex [85]
Hi there! Thanks for asking a question here on Brainly. 

<span>Without innovation, no company can survive over the long run. Innovations provide new ideas, methods, and advances to a company.

Answer: Letter D </span>✅ <span>

</span>Hope that helps! ★ If you have further questions about this question or need more help, feel free to comment below or post another question and send the link to me. -UnicornFudge aka Qamar
3 0
3 years ago
Suppose the price level reflects the number of dollars needed to buy a basket of goods containing one cup of coffee, one donut,
Anettt [7]

Answer:

From year one to year two, there is (Deflation,Inflation) at an annual rate of _12.5____%. In year one, $40.00 will buy ____5____ baskets, and in year two, $40.00 will buy ___5.7 (6)____ baskets. This example illustrates that, as the price level falls, the value of money:_increases___

Explanation:

a) Data and Calculations:

The price of a basket of goods in year one = $8.00

The price of the same basket of goods in year two = $7.00

Difference in price (reduction in price) = $1 ($8 - $7)

Percentage reduction in price = $1/$8 * 100 = 12.5%

With $40/8, 5 baskets were bought

With $40/7, 5.7 baskets will be bought

b) Economists are always wary of prolonged deflation or continuous general falling prices of goods because it depicts an economy that is seriously weakening at its foundation.  As a fallout, companies slow production, reduce output, lay off workers, and reduce salaries (earned income).

5 0
2 years ago
Which of the following terms is not used in project management? A. Dummy activity. B. Latest finish. C. Optimistic time. D. Lump
zavuch27 [327]

Answer:

Lumpy demand is not used in project management.

The correct answer is  D

Explanation:

Dummy is a zero activity, which helps in network analysis.

Activity refers to a task in network analysis.                                                              

Latest finish time is the latest completion time of a project in network analysis.

Lumpy demand refers to low demand as a result of higher cost. It is not used in network analysis (project management)

8 0
2 years ago
Nascar redirected its marketing efforts when a survey indicated that almost 50 percent of its fans were female. this is an examp
olga nikolaevna [1]
This would not be psychographic segmentation, as segmenting by gender would be demographic
4 0
3 years ago
Other questions:
  • USSOCOM is focused on organizing, training, equipping and providing highly capable __________ special operations forces to geogr
    10·1 answer
  • g Required information [The following information applies to the questions displayed below.] On October 1, Ebony Ernst organized
    6·1 answer
  • Although she hates the work, Jessica has spent most weekends and the last three summers as a short-order cook; she has an associ
    15·2 answers
  • Outlines give you a chance to organize your thinking before determining word choice and sentence structure.
    7·1 answer
  • Hot and Cold Corp. makes disposable coffee and soft drink cups for use in fast-food restaurants, hospitals, convenience stores,
    9·1 answer
  • Media richness most directly refers too
    13·1 answer
  • A small business has determined that the machinery they currently use will wear out in 17 years. To replace the new machine when
    15·1 answer
  • You are looking at buying a stock and holding for 3 years. A stock will pay a dividend of $1 in 1 year, a dividend of $2 in 2 ye
    6·1 answer
  • Billie Bob purchased a used camera (five-year property) for use in his sole proprietorship in the prior year. The basis of the c
    13·1 answer
  • You have applied for a job at a company you would really like to work for. You passed the first round of telephone interviews an
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!