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Vesna [10]
3 years ago
13

Company X's current assets increased by $40 million from 2007 to 2008, while the company's current liabilities increased by $25

million over the same period. The cash impact of the change in working capital was:
a. A decrease of $15 million
b. An increase of $15 million
c. An increase of $40 million
d. An increase of $25 million
Business
1 answer:
Virty [35]3 years ago
7 0

Answer:

b. An increase of $15 million

Explanation:

The computation of the cash impact of the change in working capital is shown below:

As we know that

Working capital = Current assets - current liabilities

So, the change in working capital is

= Increase in current assets  - increased in current liabilities

= $40 million - $25 million

= $15 million

Hence, the b option is correct

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Thus the answer is letter A.
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6 0
3 years ago
Which statement is true regarding Check No. - 409?
kakasveta [241]
What are the statements?
3 0
3 years ago
Brian is a manager at a clothing store. He spends most of his time in the store with his employees, making sure they work their
Sophie [7]

Answer:

First line manager

Explanation:

First line managers are the lowest forms of managers in an organizational structure. They are the managers that deals with employees directly. They operate their departments by assigning work to the employees and monitoring their actions. In this case, the activities of Brian which included making sure they work their scheduled hours, watching them interact with customers and so on indicates that he is a First-Level Manager.

8 0
3 years ago
EB10.
Mrrafil [7]

Answer:

                                                                        Debit                   Credit

Work in process inventory                            $15,000

Manufacturing overhead clearing account                              $15,000                                    

Explanation:

First determine the amount of applied overhead which can be calculated as follows

Applied overhead=Rate per machine hour*number of hours

Applied overhead=$5*3,000=$15,000

The journal entry for the applied overhead shall be made as follow

                                                                        Debit                   Credit

Work in process inventory                            $15,000

Manufacturing overheads clearing account                              $15,000                                    

8 0
3 years ago
Naumann Corporation produces and sells a single product. Data concerning that product appear below: Per Unit Percent of Sales Se
vova2212 [387]

Answer:

An  increase in net operating income of $127,200

Explanation:

Consider the variable effect of the changes.

Sales ($400 x 400)                                    $160,000

Less Variable expenses ( $82 x 400)      ($32,800)

Contribution                                               $127,200

therefore,

An  increase in net operating income of $127,200

4 0
3 years ago
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