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3 years ago

Condensed financial data of Monty Company for 2020 and 2019 are presented below.

Business

1 answer:

bija089 [108]3 years ago

7 0

Answer:

Monty Company

Statement of Cash Flows

December 31, 2020

Cash flows from operating activities

Net income $790

Adjustments to reconcile net income $40

+ depreciation expense $40

+ decrease in inventory $260

+ increase in accounts payable $300

- gain from sale of investments ($80)

- increase in accounts receivable ($430)

- decrease in accrued liabilities ($50)

Net cash flow from operating activities $830

Cash flows from investing activities

Sale of long term investments $140

Gain from sale of investments $80

Purchases of P, P & E ($190)

Net cash flow from investing activities $30

Cash flow from financing activities

Issuance of Common Stocks $210

- Payments of long term debt ($160)

- Dividends paid ($260)

Net cash from financing activities ($210)

Net increase in cash $650

+ Beginning cash balance $1,160

Ending cash balance $1,810

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3 years ago

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Option "D" is the correct answer - High Low High.

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3 years ago

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3 years ago

Because of uncertainty about future inflation, the union devotes a large quantity of resources to monitoring inflation indicator

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Answer:

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Option C is correct because variable inflation is associated with high transaction costs in order to maximize the financial position. For example, if the inflation rate is 5% during first quarter, the price level is not much to disrupt the financial position. Again, in the next quarter, if the inflation rate changes to 4%, the position will be effective more. However, if it increases, it will not affect too much.

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3 years ago

Bedekar, Inc., has an issue of preferred stock outstanding that pays a $3.40 dividend every year in perpetuity. If this issue cu

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