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Rudik [331]
3 years ago
9

Grossman Lumber reported $102,000 net cash provided by its operating activities. If the company invests $4,000 in capital expend

itures and distributes $8,000 in dividends, its free cash flow will be
A : $102,000.
B : $94,000.
C : $90,000.
D : $98,000.
Business
1 answer:
konstantin123 [22]3 years ago
3 0

Answer:

(C) $90,000

Explanation:

As per the question,

Given data are:

Net cash provided = $102,000

Capital expenditures = $4,000

Dividends = $8,000

Free cash flow can be calculated as:

Free cash flow =

Total cash provided by the company - ( Total expenditures + Dividends)

Therefore.

Free cash flow = $102,000 - ($4,000 + $8,000)

                         = $102,000 - $12,000

                         = $90,000

Hence, the required free cash flow = $90,000

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Gem Corporation is a new company and obtains financing by issuing common stock to investors for $30,000. During the year, Gem ea
swat32

Answer: $33,000

Explanation: In simple words, stockholders equity is that amount of assets in the company, that is not financed by a liability. Thus, we can say that it is the difference between the assets and liabilities of the business.

It can be computed using following formula :-

stockholders equity = issuance of common stock + net income - dividend paid

                                 = $30,000 + $8,000 - $5,000

                                 = $33,000

3 0
3 years ago
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aniked [119]

Answer:

D) By creating a new ad group for the sale.

A) By setting campaign start/end dates.

Explanation:

Swee Yin must first create a new ad group in order for their campaign and products to show up on search results whenever google user search any related item or topic. Since this campaign only last a limited time, Swee Yin must set when the campaign starts and when it should end. They could post there campaign ads in both google search network and google display.

4 0
4 years ago
The __________ is a good-faith estimate of credit costs and transaction terms that replaces the HUD Good Faith Estimate (GFE) an
lidiya [134]

Answer:

c. Loan Estimate

Explanation:

The loan estimate has replaced the Good Faith Estimate in 2015. Both documents are given by the mortgage lender to the consumer. The main purpose of the documents is for the customer to compare different offers from different lenders.

The main difference is that the loan estimate form is more comprehensive and understandable for the customers.

4 0
4 years ago
_____ are revenue and spending items in the federal budget that change with the ups and downs in an economy so as to stabilize d
kicyunya [14]

Answer:

Automatic stabilizers

Explanation:

Examples of automatic stabilizers are income tax and government welfare spending. They adjust immediately to minimise the effect of fluctuations in the economy.

For example in a recession, income tax reduces and government welfare spending increases. In a boom, income tax increases and government welfare spending falls.

I hope my answer helps you

6 0
3 years ago
If the government requires a natural monopoly to price at marginal cost, Group of answer choices monopoly firms will earn zero e
MissTica

Answer:

monopoly firms will operate at a loss because P < AC

Explanation:

A monopoly is when there is only one firm operating in an industry.

A natural monopoly exists either because of high start-up costs or high economies of scale.

A natural monopoly has a decreasing average cost for some output. When the average cost is falling, the marginal cost lies below the average cost. If the government sets price to be equal to  marginal cost, which lies below the average cost, the monopoly would incur losses.

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4 years ago
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