Answer:
Dr merchandise inventory $250
Cr accounts payable $250
Explanation:
The appropriate thing to do on the transaction date would be to recognize that $250 is being owed to the supplier from whom the German chocolate was bought by crediting accounts payable with $250 and debiting merchandise inventory with the same amount.
Upon payment on 31 March 2014,the accounts payable amount is reversed by a way of debit and cash account credited accordingly with the $250 to show an outflow of cash from the business.
Answer:
-$3,581
Explanation:
For computation of cash flow from assets first we need to find out the net capital spending, changes in working capital and operating cash flow which is shown below:-
Cash flow from assets = Operating cash flow - net capital spending - changes in working capital
where,
Net capital spending = ending fixed assets - beginning fixed assets + depreciation
= $36,400 - $32,780 + $967
= $4,587
Changes in working capital = (ending balance of current assets - ending balance of current liabilities) - (beginning balance of current assets - beginning balance of current liabilities)
= ($9,378 - $7,809) - ($8,514 - $8,099)
= $1,569 - $415
= $1,154
Operating Cash Flow = Earnings before interest and taxes + Depreciation - Taxes
= $1,712 + $967 - $519
= $2,160
Now put these values to the cash flow from assets formula
= $2,160 - $4,587 - $1,154
= -$3,581
In maturity stage of the product life cycle a firm would most likely use price reductions and reminder advertising.
<h3>What is product life cycle?</h3>
A product life cycle can be regarded as length of time from introduction of a product to consumers till the the consumer get the product.
This comes in stages, one of the this stage is
maturity stage of product life cycle where discount is used for consumers.
Learn more about product life cycle at;
brainly.com/question/14567370