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liubo4ka [24]
3 years ago
5

Exercise 12-1

Business
1 answer:
exis [7]3 years ago
4 0

Answer: Please refer to Explanation

Explanation:

In the Cashflow statement, entries are classified by what type they are under Investing, Financing or Operating Activities.

Operating Activities refer to cash paid or received from normal business operations and the expenses needed to maintain it.

Investing Activities refer to entries made relating to cash paid for the acquisition of fixed assets as these are long term. It also includes buying other company stocks and bonds.

Financing Activities refer to the funds that the the business uses to fund itself. These include long term debt and Equity.

a. Collected cash from customers. OPERATING ACTIVITY.

b. Paid cash to repurchase its own stock. FINANCING ACTIVITY.

c. Borrowed money from a creditor. OPERATING ACTIVITY.

d. Paid suppliers for inventory purchases. OPERATING ACTIVITY.

e. Repaid the principal amount of a debt. FINANCING ACTIVITY.

f. Paid interest to lenders. FINANCING ACTIVITY.

g. Paid a cash dividend to stockholders. FINANCING ACTIVITY.

h. Sold common stock. FINANCING ACTIVITY.

i. Loaned money to another entity. INVESTING ACTIVITY.

j. Paid taxes to the government. OPERATING ACTIVITY.

k. Paid wages and salaries to employees. OPERATING ACTIVITY.

l. Purchased equipment with cash. INVESTING ACTIVITY.

m. Paid bills to insurers and utility providers. OPERATING ACTIVITY.

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Alla [95]

Nominal GDP is described as GDP that has no longer been adjusted for actual GDP according to capita and is the key statistic used to tune economic increase.

GDP in line with capita is the sum of gross cost brought by using all resident manufacturers within the economy plus any product taxes (fewer subsidies) not blanketed within the valuation of output, divided by means of mid-12 months population. growth is calculated from steady price GDP facts in nearby currency.

As an end result, higher GDP according to capita is frequently associated with superb effects in a wide range of areas along with better fitness, more training, or even more life satisfaction.

GDP per capita is primarily based on purchasing energy parity (PPP). PPP GDP is gross domestic product converted to worldwide dollars using shopping strength parity charges. An international dollar has equal buying power over GDP as the U.S. dollar has in the united states.

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3 0
2 years ago
Why are people with savings hurt by inflation?
oksian1 [2.3K]

Answer:

B) The money they saved in the past is worth less in the future

Explanation:

7 0
3 years ago
Consider an investment with the returns over 4 years as shown​here:
xeze [42]

Answer:

Explanation:

Assume the initial invest at the beginning is $100.

The investment at end of year 4 is:

100 x 1.16 x 1.11 x 1.1 x 1.1 = 155.80

a) CAGR over the 4 years = (155.8 / 100 ) ^ (1/4) = 11.72%

b) Average annual return over 4 years = (16% +11% + 10% +10%) /4 = 11.75%

c) Since the returns over the 4 year period are not much volatile, average annual return is a better measure.

If the investment's returns are independent and identically distributed, Average annual return will be the better measure because there is no correlation between returns over the years and thus there is no point to take into consideration the compounding effect by using CAGR.

8 0
3 years ago
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Antonio has $11.00 to spend on a lunch consisting of hamburgers ($1.50 each) and French fries ($1.00 per order). Antonio's satis
saveliy_v [14]

Answer: <em>$4. 71 hamburger and $6.29 French fries. </em>

Explanation:

Total spendable income of Antonio = $11.00  

1 hamburger = $1.50

1 order of French fries = $1.00

Utility maximization function: U(x1, x2) = x1x2 i.e. 1 hamburger and 2 orders of French fries

Using the Utility maximization function: U(x1, x2) = $1.50 + $2.00

                                                                                      = $3.50 per lunch  

Therefore the customer will purchase hamburger worth of $(1.50 x 11.00/3.50) = $4. 71

And French fries orders worth of $(2.00 x 11.00/3.50) = $6.29

<em>Antonio will maximize his satisfaction by purchasing $4. 71 hamburger and $6.29 French fries. </em>

3 0
3 years ago
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madreJ [45]

Answer:

B. Thanks can have collection agencies seize part of the borrowers income

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