Capital expenditure formula <br>

For each of the following items, indicate whether it would be classified as an (O) operating activity, an (I) investing activity

dmitriy555 [2]

Answer:

The categorization is shown below:

Explanation:

The cash flow statement includes three types of activities which are listed below:

1. Operating activities: It involves those transactions that after net income affect the working capital. It will subtract the rise in current assets and a reduction in current liabilities, while adding the reduction in existing assets and a rise in current liabilities.

This will moderate the adjustments in working capital. In addition, the depreciation expenses are applied to the net profit and the loss on the selling of assets is added, while the gain on the sale of assets is excluded

2. Investing activities: it tracks operations that involve purchasing and selling long-term properties. Purchase is cash outflow while selling is cash inflow

3. Financing operations: it tracks transactions that have an impact on long-term debt and equity balance of shareholders. Share issue is a cash inflow while redemption and dividend are cash outflows.

Therefore, the categorization is shown below:

(1) Received cash dividends from investments in trading securities. = an (I) investing activity

(2) Collected accounts receivable from customers.= an (O) operating activity

(3) Issued bonds payable for cash.= a (F) financing activity

(4) Paid wages to employees. = an (O) operating activity

(5) Issued stock for cash. = a (F) financing activity

(6) Sold equipment for cash. = an (I) investing activity

(7) Purchased land in exchange for a note payable. = a significant (N) non-cash financing and investing activity

(8) Paid cash dividends. = a (F) financing activity

(9) Received interest from investments in trading securities. = an (I) investing activity

(10) Purchases of land for cash. = an (I) investing activity

7 0

3 years ago

The projected benefit obligation was $440 million at the beginning of the year. Service cost for the year was $48 million. At th

balu736 [363]

Answer: $47 million

Explanation:

Pension expense arises as a result of the amounts owed to employees in relation to pension liabilities.

It is calculated by;

= Service Cost + Interest expense - Expected return on plan assets + Amortization of prior service cost + Amortization of net loss

= 48 + ( 440 * 5%) - 23

= $47 million

7 0

3 years ago

If the government wants to minimize the deadweight loss of taxation, which of the following items are good candidates for an exc

lesantik [10]

Answer:

A. emergency plumber services and C.insulin.

Explanation:

From the list provided the best candidates for this would be emergency plumber services and insulin. That is because these are items or services that have a high supply but low demand due to the population of customers being a minority. This, therefore, causes market inefficiency which leads to deadweight loss. Other items like Coca-Cola and food mostly stay in equilibrium because products are made depending on the current demand and the customer population is the vast majority.

6 0

3 years ago

The boy scouts, the veterans of foreign wars, most civic organizations, and many groups that people join because of mutual inter

NISA [10]

The boy scouts, the veterans of foreign wars, most civic organizations, and many groups that people join because of mutual interest are all examples of voluntary associations. They worked together as volunteers in a form of union or agreement working together for a unified purpose or mutual interest.

5 0

3 years ago

Online Book Merchants offers premium customers 1 free book with every purchase of 5 or more books and offers 2 free books with e

EastWind [94]

Answer:

A statement that assigns freeBooks the appropriate value based on the values of the boolean variable isPremiumCustomer and the int variable nbooksPurchased.

if(nbooksPurchased > 4){

if(isPremiumCustomer){

freeBooks = 1;

if(nbooksPurchased > 7){

freeBooks = 2;

}

}else{

freeBooks = 0;

if(nbooksPurchased > 6){

freeBooks = 1;

}

if(nbooksPurchased > 11){

freeBooks = 2;

}

}else{freeBooks = 0;}

Explanation:

5 0

3 years ago

Capital expenditure formula ​

Capital expenditure formula