Answer:
i said D but dont know if its right
Explanation:
Answer:
C. Cash flow from operating activities has decreased relative to net income.
Explanation:
As we know that
Operating activities involves those activities that impact the after-net income working capital. This will subtract the rise in current assets and a reduction in current liabilities, while adding the decline in existing assets and a rise in current liabilities.
It will adjust some adjustments in working capital. In addition, the depreciation expenses are applied to the net profit and the loss on the selling of assets is added, while the gain on the sale of assets is deducted
Hence, the C option is correct
Answer:
A mix hedge reduces levels of expensive FG inventory while slightly increasing component inventories.
A mix hedge is a planning technique which supports increased production flexibility
Explanation:
Hedging inventory implies a level of inventory that is kept to shield against unexpected event such as breakdown of machines,strikes,surge in demand for product or non-availability of raw materials due to disruption in supplier's business.
However, mix hedge is required to ensure the right of mix of inventories at every point in time so as to avoid investing more than required resources in inventory by keeping low volume of expensive items of inventory and at the same time increasing the number of inventories kept overall,such that risk associated with inventory can be shared by a number of items of inventory instead of a single line of inventory.
Answer:
Journal entries
Explanation:
The journal entries are as follows
(a) Cash A/c Dr $33,000
Accumulated depreciation A/c Dr $36,960
To Factory machine A/c $66,000
To Profit on sale of factory machine A/c $3,960
(Being the sale of machinery is recorded and the remaining balance is credited to the profit on sale of factory machine account)
(b) Cash A/c Dr $19,800
Loss on sale of factory machine A/c $9,240
Accumulated depreciation A/c Dr $36,960
To Factory machine A/c $66,000
(Being the sale of machinery is recorded and the remaining balance is debited to the loss on sale of factory machine account)