Answer:
$1,476,000
Explanation:
According to the scenario, computation of the given data are as follows:-
Statement of The Cash Flow 31 December,2022
Particular Amount Total Amount
Net Income $1,200,000
Depreciation $192,000
Accounts receivable Decrease $420,000
Accounts payable Decrease ($336,000)
$276,000
Net cash provided by operating activities $1,476,000
Answer:
The new price of the bond is $928.94
Explanation:
Initially the bond's price is equal to its par value which means the coupon rate on bond and the market interest rates are the same i.e. 6%.
Th bond's price is calculated as the sum of the present value of the annuity of interest payments by the bond and the present value of the face value of the bond that will be received at maturity. The discount rate used to calculate the present values is the market interest rate.
As the bond is a semiannual bond, we will use the semi annual coupon payment, the semi annual percentage of the annual rate of interest on market and the number of semi annual periods outstanding.
Semi annual coupon payment = 1000 * 0.06 * 6/12 = $30
Number of semiannual periods till maturity = 10 * 2 = 20 periods
New market interest rate = 6 + 1 = 7% annual
New semi annual market interest rate = 7% / 2 = 3.5%
Price of bond = 30 * [ (1 - (1+0.035)^-20) / 0.035 ] + 1000 / (1+0.035)^20
Price of bond = $928.938 rounded off to $928.94
We used the present value of annuity ordinary formula for preset value of interest payments and the normal present value of principal formula for the face value.
Answer:
correct option is b. $450,000
Explanation:
given data
capitalized software costs = $600,000
expected total sales = 10%
sale = 4 year
net realizable value = $480,000
solution
we get here net capitalized cost of computer software that is express as
net capitalized cost of computer software = Year 1 balance - Year 2 amortization .................1
here
Year 2 amortization is
Year 2 amortization = capitalized software costs ÷ total projected sale .......2
Year 2 amortization = 
Year 2 amortization = $150,000
so here
Year 2 net capitalized cost is = $600,000 - $150,000
Year 2 net capitalized cost is $450000
so correct option is b. $450,000
Answer:
$15,525
Explanation:
Calculation for ending inventory under variable costing
Using this formula
Units in ending inventory = Units in beginning inventory + Units produced −Units sold
Thus,
= 0 units + 5,500 units −4,350 units
= 1,150 units
Formula for Value of ending inventory under variable costing
= Unit in ending inventory × Variable production cost
= 1,150 units × $13.50 per unit
= $15,525
Answer:
$5,857; $1,105
Explanation:
Cash flows from investing activities:
= Proceeds from sale of property and equipment + Sale of investments - Purchase of property, plant, and equipment
= $6,594 + $134 - $871
= $5,857
Therefore, the net cash provided by the investing activities is $5,857.
Cash flows from Financing activities:
= Borrowings under line of credit (bank) + Proceeds from issuance of stock - Payments to reduce long-term debt - Dividends paid
= $1,417 + $11 - $46 - $277
= $1,105
Therefore, the net cash provided by the investing activities is $1,105.
