Five is C four is C threes is B two is D one is C
Answer:
Net Income 193,000
Non-monetary terms:
Depreciation expense 25,000
amortization expense 10,000
gain on disposal <u> (7,000) </u>
Adjusted Income 221,000
Change in Working Capital:
Increase in A/R (27,000)
Decreasein Inv 17,000
Increase in Prepaid (5,000)
Increase Accrued /P 11,000
Decreasein A/P (6,000)
Change In Working Capital (10,000)
From Operating Activities 211,000
Investing
Sale of Equipment 47,000
Financing
Bonds Issued 60,000
Cash Flow 318,000
Beginning Cash 99,000
Cash Flow 318,000
Ending Cash 417,000
Explanation:
We first remove the non.monetary concetps from the net income.
Then we adjust for the change in working capital which are the incrase and decrease in the current assets and liabilities account
Increase in asset and decrease in liabilities represent cash outflow
while the opposite is true when an asset decrease(convert to cash) or a liablity increase (delay of the payment)
Answer:
- $ 138,000
Explanation:
The investment activities includes the transaction done on purchasing the equipment and selling the land.
Thus, for the given question
The list of investment activities:
Purchase of Equipment = - $ 149,000
Proceeds from Sales = $ 130,000
Purchase of Land = - $ 119,000
here, the negative sign depicts the amount is paid
thus, the net cash flow from the investment activities
= - $ 149,000 + $ 130,000 + (- $ 119,000)
or
the net cash flow from the investment activities = - $ 138,000
Answer: SEE EXPLANATION
A. 198.27 UNITS
B. 99.14 UNITS
C. 30.76 ORDERS
D. 8.12 DAYS
E. $1,784.43
Explanation:
Given the following ;
Annual order = 6,100
Carrying cost = $9 per unit per year
Ordering cost = $29
A) EOQ =sqrt[( 2 × Annual order × (ordering cost ÷ carrying cost)]
EOQ = sqrt[2 ×6100 × (29÷9)]
EOQ = sqrt(12200 × 3.22222222)
EOQ = 198.27 units
B.) AVERAGE INVENTORY :
EOQ ÷ 2
198.27 ÷ 2 = 99.14 UNITS
C.) Optimal number of orders per year:
Demand / order per year
6,100 ÷ 198.27 = 30.76 orders
D.) Optimal number of days between two orders:
Number of working days ÷ optimal number of orders
250 ÷ 30.76 = 8.12 days.
E.) Annual cost of ordering and holding inventory:
$198.27 × $9 = $1,784.43
Answer:
Dr Cash for $461,795,
Cr Premium on Bonds Payable for $11,795
Cr Bonds Payable for $450,000
Explanation:
Journal entries
Dr Cash for $461,795,
Cr Premium on Bonds Payable for $11,795
Cr Bonds Payable for $450,000
(Issue price of $461,795 - par value of $450,000) =$11,795
