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-BARSIC- [3]
3 years ago
8

Electronic Wonders reports net income of $96,500. The accounting records reveal Depreciation Expense of $50,200 as well as incre

ases in Prepaid Rent, Accounts Payable, and Income Tax Payable of $38,500, $23,900, and $20,400, respectively. Prepare the operating activities section of Electronic Wonders' statement of cash flows using the indirect method. (Amounts to be deducted and negative values should be indicated by minus sign.)
Business
1 answer:
jonny [76]3 years ago
7 0

Answer:

$152,500

Explanation:

Preparation of the operating activities section of Electronic Wonders' statement of cash flows using the indirect method

Cash flows from operating activities:

Net Income $96500

Adjustments for noncash effects:

Depreciation expense $50,200

Changes in current assets and current liabilities:

increase in accounts payable $23,900

Increase in income tax payable $20,400

Less Increase in prepaid rent ($38,500)

Net cash flows from operating activities $152,500

Therefore the operating activities section of Electronic Wonders' statement of cash flows using the indirect method is $152,500

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Lending money and collecting the loans are A. operating activities. B. investing activities. C. Non-cash investing and financing
Ne4ueva [31]

Answer:

B. investing activities.

Explanation:

Cash flow transactions are categorized into three categories,

  • Operating
  • Investing
  • Financing

Under Investing activities a company invests the money or cash in some sort of securities, in our case case loan, while investing it gives the money to some third person, then it gets return like interest or dividend on such amount.

Here, the company has lend some money in the form of loan and then it collects the loan, therefore it is investing activity.

Exceptionally if a company is a banking or NBFC companies then it lends money in normal course, and then collects them back in that case it is operating activity.

In general it is

B. investing activities.

6 0
2 years ago
As president of​ Econivalia, you are constantly strained for funds to pay your troops. Your chief economist suggests the followi
barxatty [35]

Answer: All of the above are problem with the plan.

Explanation:

If a Government rapidly increases the money supplied into an economy, it leads to inflation.

This is because as the citizens of a country get more money at a very short interval, they would tend to demand for more items in the market, the increase in demand would directly lead to an increase in price which is an inflation.

Therefore minting extra money may pay the soldiers but negatively affect the economy as price of commodities would increase.

5 0
3 years ago
Monitoring the performance of the people managing the firm is easiest in the case of:___________.
earnstyle [38]

Answer:

something goes wrong

Explanation:

6 0
2 years ago
LO 7.2Rehydrator makes a nutrition additive and expects to sell 3,000 units in January, 2,000 in February, 2,500 in March, 2,700
iogann1982 [59]

Answer:

Instructions are below.

Explanation:

Giving the following information:

Sales in units:

January= 3,000

February= 2,000

March= 2,500

April= 2,700

May= 2,900

The required ending inventory is 20% of the next month's sales, and the beginning inventory on January 1 was 600 units.

The production budget for each month is calculated using the following formula:

Production= sales + desired ending inventory - beginning inventory

Production budget:

January:

Sales= 3,000

Ending inventory= (2,000*0.2)= 400

Beginning inventory= (600)

Total= 2,800

February:

Sales= 2,000

Ending inventory= (2,500*0.2)= 500

Beginning inventory= (400)

Total= 2,100

March:

Sales= 2,500

Ending inventory= (2,700*0.2)= 540

Beginning inventory= (500)

Total= 2,540

April:

Sales= 2,700

Ending inventory= (2,900*0.2)= 580

Beginning inventory= (540)

Total= 2,740

5 0
3 years ago
Kater Company manufactures shelving units. The company receives pre-cut wood, drills holes in the wood so that movable shelves m
MArishka [77]

Answer: Please see below for answers.

Explanation:

Variable costs are referred to as  costs  incurred to a company which change  as the  volume of production by the company or business changes   that is  when the volume of production increases, the costs increases , and decreases with decreased production.

Fixed costs  are expenses incurred to a company which do not change in relation to the volume of production by the company or business that is  when the volume of production increases or decreases, the  costs remains the same.

a. Supervisor of the Drilling Department----- Fixed cost

b.Oil used to lubricate drill press machines---- Variable cost

c.Propane for forklift trucks used to move the material from the Drilling      Department to the Assembly Department---- Variable cost

e.Natural gas used to heat the plant----- Variable cost

f.Security guard---- fixed cost s

g.Insurance on factory building----- Fixed costs

h.Electricity to power drill press machines---- Variable costs

.i Rent of factory building-Fixed costs

4 0
3 years ago
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