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3 years ago

A.The loss on the cash sale of equipment was $22,125 (details in b).

Business

1 answer:

slamgirl [31]3 years ago

3 0

Answer:

Statement of cash flows for the year

Cash flow from Operating Activities

Loss on sale of equipment $22,125

Net Cash Provided by Operating Activities $22,125

Cash flow from Investing Activities

Proceeds from sale of equipment $28,625

Purchase of equipment ($64,000)

Net Cash used by investing activities ($35,375)

Cash flow from Financing Activities

Note Payable Issued $5,700

Repayment of Note Payable ($58,625)

Issue of Common Stock $84,000

Cash Dividends Paid ($53,500)

Net Cash used by Financing activities ($22,425)

Explanation:

Statement of cash flows for the year shows results of cash resulting from the following activities :

Cash flow from Operating Activities
Cash flow from Investing Activities
Cash flow from Financing Activities

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Alla [95]

Answer:

Consumers would not keep buying ice cream at $2.75 because after purchasing a certain amount of ice cream, utility would be maximised and consumers would not value ice cream at $2.75 anymore. Consumers would not purchase a product it the marginal utility that would be derived from consuming the product is less than the price.

According to the law of diminishing marginal utility, as more units of a product is increased, total utility increases but at a decreasing rate.

Explanation:

Marginal utitiy is the increase in utility that is derived from consuming one more unit of a product.

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3 years ago

Duffert Industries has total assets of $1,080,000 and total current liabilities (consisting only of accounts payable and accrual

iris [78.8K]

Answer:

ROIC is 9.26%

ROE is 12.63%

Explanation:

According to the given data we have the following:

Total assets = $1,080,000

Total liabilities = Current liabilities + Debt + Common equity = $1,080,000

D/(D + E) = 0.40

D / ($1,080,000 - 100,000) = 0.40

D = $392,000

Common equity = Total liabilities - Current liabilities - Debt = $1,080,000 - 100,000 - 392,000= $588,000

BEP = 0.15 = EBIT/TA

= EBIT/$1,080,000

Therefore, EBIT = $162,000

In order to calculate the ROIC we would have to make the following calculation:

ROIC = [EBIT(1 – T)]/(D + E) = [$151,200(0.6)]/($392,000 + $588,000) = 9.26%

ROIC is 9.26%

To calculate the ROE we would have to calculate first net income from income statement as follows:

EBIT=$151,200

Less: Interest ($392,000 x 7%) 27,440

EBT= 123,760

Less: Tax 40% 49,504

Net Income= 74,256

Therefore, ROE = NI/E = $74,256/$588,000 = 12.63%

ROE is 12.63%

6 0

3 years ago

On January 2, 2019, Kornis Corporation acquired equipment for $1,500,000. The estimated life of the equipment is 5 years or 90,0

tatiyna

Answer:

D) $600,000

Explanation:

The double-declining-balance method of depreciation = Depreciation factor x cost of asset

Depreciation factor = 2 x (1/useful life of the asset)

Depreciation factor = 2 / 5 = 0.4

Deprecation expense = 0.4 x $1,500,000 = $600,000

I hope my answer helps you

4 0

4 years ago

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Answer:

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Assuming the total population is 100 million, the civilian labor force is 50 million, and 44 million workers are employed, the u

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