Answer:
A cooperative can be understood as a business model where there is a partnership between people with the same interests in an economic activity, not for profit, and who provide associated services.
In this voluntary society, there are its own rules and autonomy, being the voluntary and independent association, where there is the cooperation of each member and sharing of the management, of the positive and negative risks to the business. All members have economic participation and access to information and training. Interest on capital is limited and the surplus is distributed among all members.
Answer:
Operating Activity
Explanation:
The Indirect method, reconciles the Operating Profit to the Operating Cash Flow by adjusting the following items (1) Non Cash flow items previously added or deducted from Operating Profit and (2) Changes in Working Capital items.
Amortization of bond premium is an item of non-cash flow that was previously deducted from Operating Profit and needs to be <em>added</em> back.
Answer:
Given:
Income before income taxes = $225,000
Book depreciation = $25,000
Nondeductible book expenses = $10,000
Tax rate = 40%
Enacted rate = 35%
Deferred income tax liability is computed as:
Deferred income tax liability = Book depreciation × Enacted rate
= $25,000 × 35%
= $8,750
Answer:
A) $84,500
Explanation:
The cash flow statement categories the company's transactions in a financial period into 3 groups; these are operating, investing and financing.
The net profit/loss, depreciation, changes in current assets (other than cash) and liabilities are considered as operating activities including income taxes.
The sale of assets, interest received, purchase of investments are examples of investing activities while the issuance of stocks, debt principal deduction (loan settlement), issuance of debt securities etc are examples of financing activities.
Hence, amount of cash provided by operating activities
= -$3,000 + $1,000 + $1,500 + $85,000
= $84,500
The increase in asset other than cash is an outflow, increase in liability is an inflow of cash. Depreciation is a non-cash item added back while increase in building and bond payable are investing and financing activities respectively.
Answer and Explanation:
The correct way for putting this on expiration paper is as follows
Expiration date: 1/17/2017
Exp time: 4:00 AM
Preparation date: 12/3/2016
Preparation time: 4:00 AM
The above represents the correct way i.e to be putted on an expiration paper
Therefore we applied the given information to arrive at an answer