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SOVA2 [1]
3 years ago
10

The result of the accounting process is several financial statements. The income statement, the balance sheet, and the statement

of cash flows are the best known examples of financial statements. Place the statements about the financial situation of a company in the chart based on the type of financial statement and the profitability of the company.
Financial statements are provided to stockholders and potential investors in a firm's annual report as well as to other relevant outsiders such as creditors, government agencies, and the Internal Revenue Service. It is important to recognize that not all financial statements follow precisely the same format. The fact that different organizations generate income in different ways suggest that when it comes to financial statements, one size definitely does not fit all.
Read each statement when it appears and place the activity in the correct box in the chart on the right
Profitable company Unprofitable company
Bottom line in surplus Financially healthy
Inward flow of cash Financially failing Balance sheet
Statement of cash flow Outward flow of cash Bottom line in deficit
Business
1 answer:
Volgvan3 years ago
3 0

Answer: Please refer to Explanation

Explanation:

<u>Income Statement </u>

Profitable Company - <em>Bottom line in surplus</em>

Unprofitable Company - <em>Bottom line in Deficit</em>

The Bottomline in the Income statement refers to the Net Profit after all adjustments and deductions have been made. This is the figure that is taken to Retained Earnings and therefore funds the business. If the Bottomline is in Deficit that means the company made a loss and by definition are Unprofitable. The reverse is true.

<u>Balance Sheet</u>

Profitable Company - <em>Financially healthy</em>.

Unprofitable Company - <em>Financially failing</em>.

The Balance Sheet shows the health of a company by checking it's assets vs it's Liabilities and Equity. If it is shown for instance that there is too much debt in the company or that Current Liabilities are more than Current Assets, this shows that the company is not healthy and this is usually a symptom of an Unprofitable company. However a balance sheet showing strong Net Assets and a good Debt - Equity balance is considered healthy and is related to a Profitable Company.

<u>Statement of Cashflow.</u>

Profitable Company - <em>Inward flow of cash</em>

Unprofitable Company - <em>Outward flow of Cash</em>

The Statement of Cashflow (SCF) shows the actual amount of cash that a company has and spends. Other statements can include amounts for which cash has not been paid yet due to the Accrual system in Accounting. The SCF only deals with cash. A Profitable Company will have more cash coming in than going out because it would mean they are making profits as well as being in a strong financial position.

An Unprofitable Company on the other hand will show more cash leaving than coming in. This Outward flow of cash will signify that the company is spending more than it gets which is the sign of unprofitability.

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Answer:

c. $3,150

Explanation:

The computation of the gross income is shown below:

= Interest on savings accounts + Interest on a State bond + Interest portion of proceeds of a 5% bank certificate of deposit + Dividends on USG common stock

= $2,000 + $600 + $250 + $300

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We do not consider the school bonds as it would not be included in the gross income. So, we ignored it

5 0
3 years ago
Missionary selling:
Valentin [98]

Missionary selling is often an entry position for higher level sales and marketing jobs.

Option D

<u>Explanation: </u>

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Missionary employment in scientific, pharmacy and textbook sales is quite common.

Professional companies such as IBM and Xerox depend on missionary vendors for program specialists. Systems specialists collaborate with clients to overcome scientific or organizational challenges. Salespeople tell about innovative items that offer alternatives in the process of finding solutions. A technical expert who advises an organization to minimize its product shipping time may, for example, suggest a software program that simplifies the shipping process.

5 0
3 years ago
What is the most important factor to you in choosing a job?
GarryVolchara [31]

Explanation:

1. Salary: Yes it is the salary which comes top most. Everybody needs money and each and everyone expects different salary based on their skills.

2. Career prospects: Career prospects are higher important than the salary. Only if the organization can provide space for growth, then only the job seems to be good.

3. Training and Development: This is one of the important aspect to upskill oneself. The upskill supports both personal growth and the growth of the organization.

4. Flexibility and benefits: Ability to adapt to change and make changes accordingly. Flexibility either way is expected. The additional benefits which one get is really an extra benefit and recognition given to the employee. Eg. Bonus

3 0
3 years ago
Suppose Joe's wage increased from $10 per hour to $12 per hour, and over the same time period the GDP deflator increased from 10
Burka [1]

Answer:

Explanation:

Im prettier sure if u add them with a calculator it could come out with the answer and it may add up too the correct answer

3 0
3 years ago
An import​ quota: A. Is always more costly to a country than an import tariff. B. Has the same effects on welfare as an import t
Ivahew [28]

Answer:

D. Generates rents that might go to foreigners.

Explanation:

An import quota is the trade restriction imposed by the government on the quantity of the particular commodity to be imported from another country. It protects domestic producers from foreign competition. Overseas goods are generally very cheap compared to locally produced goods, which can destroy a business from the market and can make foreign companies be the leader of the market, who can control the price and quality of the product. Therefore, it very helpful to the local producer in sustaining and generating profit in the market.

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