The net change in cash formula can be this easy:
Add the two cash inflows and subtract the cash outflows.
So In here we have;
Cash inflows from operations = $60,500
Cash inflows from financing = $25,000
Cash outflows from investing activities = $47,000
$60,500 + $25,000 - $47,000 = $38,500
The net change in cash was $38,500
Answer:
Explanation:
$1,050,000
Annual synergy gain = $ 178,500
Value of synergy gain from acquisition = 18 - 15.9 = 2.1 million
Annual synergy gain = 2.1 *.085 = .1785 million or $ 178,500
Net Income $574
Calculation of Nueva's net income if it elects FIFO will be :
Net sales$7,400
Less Cost of goods sold ($4,806)
($5,610 − $804)
Gross profit 2,594
Operating expenses (1,638)
Income before taxes 956
(2,594-1,638)
Income tax 382.4
(40%×956)
Net income $574
(956-382.4)
Therefore the Nueva's net income if it elects FIFO would be $574
true is the answer according to me
