Answer:
c. payment for interest on short-term notes payable
Explanation:
Cash flow statement shows positive and negative cash flows that result from activities of a business. It is divided into 3 parts: cash flow from operating activities, cash flow from investing activities, cash flow from financing activities.
Cash flows form operations involves cash flows from regular business activities. A positive change in assets represents an outflow and a negative change in liability represents an inflow.
Items considered under operating activities include inventory, accounts receivable, accrued revenue, accounts payable, and tax liabilities.
Payment for interest on short-term notes payable is a account payable item, so it is included in cash flow from operations
Answer:
d. 3.5 years
Explanation:
We know that payback period is the estimated length of time it takes cash inflow from a project to recover back the cash outflow.
It is to be noted that the payback period makes use of cash flow and not profit, hence denoted by;
Payback period = Initial cost / Annual net cash inflow
Given that;
Initial cost = $420,000
Annual net cash inflow = $120,000
Therefore,
Payback period = $420,000 / $120,000
Payback period = 3.5 years
The market clearing price is the price that balances the amount buyers want to buy with the amount sellers want to sell. This price balances the amounts demanded and supplied. The "market clearing price" is most closely associated with market equilibrium, because it exists when a market is clear of shortage and surplus, or is in equilibrium, when the demand curve and supply curve intersect.
Answer:
Would not exercise its currency option
Explanation:
Currency options are one of the most common ways for corporations , individuals or financial institutions to hedge against adverse movements in exchange rates.
A currency option is a contract that gives the buyer the right , but not the obligation, to buy or sell a certain currency at a specified exchange rate on or before a specified date.
Answer:
Dividends for the year $63,000
Explanation:
Phil Graves Cemetery
Jan. 1 Shares issued and outstanding 63,000
June 1 2-for-1 stock split x 2
June 1 Shares issued and outstanding 126,000
Oct. 15 Cash dividend declared (per share)x $ .50
Dividends for the year $63,000
Therefore the amount that Graves should report as dividends is $63,000
