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yaroslaw [1]
3 years ago
9

Net income for the year was $29,500. Accounts receivable increased $2,500, and accounts payable increased $5,400. Under the indi

rect method, the cash flow from operations is $32,000.
a. True
b. False
Business
1 answer:
Contact [7]3 years ago
4 0

Answer:

a.

Explanation:

True

hope it helps!

....

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Yolanda's Coffee Shop makes a blend that is a mixture of two types of coffee. Type A coffee costs Yolanda $4.25 per pound, and t
vovangra [49]

Answer:

she used type A coffee is 62 pounds

Explanation:

given data

Type A coffee costs = $4.25 per pound

type B coffee costs = $5.60 per pound

this month Yolanda made = 155 pounds

this month total cost = $784.30

to find out

How many pounds of type A coffee did she use

solution

we consider here that this month type A coffee used = x

and type B coffee used = y

so equation will be

x + y = 155       ..................1

and cost equation

4.25 x + 5.60 y = 784.30       ...............2

now from equation 1 we get y

y = 155 - x     .........................3

put this value in equation 2

4.25 x + 5.60 y = 784.3

4.25 x + 5.60 ( 155 - x) = 784.3

solve this equation we get

x = 62

so she used type A coffee is 62 pounds

3 0
3 years ago
Ms. Pay, who has a 40.8 percent marginal tax rate on interest income (37 percent income tax 3.8 percent Medicare contribution ta
Butoxors [25]

Answer:

After tax cash flow    $44,281.60

After tax cash flow   ($30,518.40)

After tax cash flow   $8856.32

Explanation:

In the first case when the interest income of $74,800 ,the after-tax cash flow would be taxed as follows"

before tax cash flow   $74,800.00

tax at 40.8%*$74,800 ($30,518.40)

After tax cash flow      $44,281.60  

If the entire interest income is re-invested after tax cash flow is computed thus:

before tax cash flow   $0

tax at 40.8%*$74,800 ($30,518.40)

After tax cash flow      ($30,518.40)

If the entire interest income represents the original  issue discount,which is the difference between the face value and the issue price,after tax cash  flow is computed thus:

The OID is taxable as if it accrues over the duration of the investment(bonds),hence a portion of the OID would be assessed to tax each year (assume the duration of investment is 5 years)

Annual portion of OID=$74,800/5

before tax cash flow    $14,960 .00

tax at 40.8%*$74,800  ($6103.68 )

After tax cash flow         $8856.32

After tax cash flow      $44,281.60  

3 0
3 years ago
You want to buy a new car, but you can make an initial payment of only $1,200 and can afford monthly payments of at most $850. a
Leviafan [203]

Answer:

a. The maximum price you can pay for the car is <u>$33,477.87</u>.

b. The maximum price you can pay for the car is <u>$39,411.78</u>.

Explanation:

a. If the APR on auto loans is 12% and you finance the purchase over 48 months, what is the maximum price you can pay for the car? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

This can be determined as follows:

<u>Calculation of the Present Value (PV) of the monthly payments</u>

To calculate, the formula for calculating the present value of an ordinary annuity is used as follows:

PV = P * ((1 - (1 / (1 + r))^n) / r) …………………………………. (1)

Where;

PV = Present value of the monthly payments = ?

P = Monthly payment = $850

r = monthly interest rate = annual percentage rate (APR) / 12 = 12% / 12 = 1%, or 0.01

n = number of months = 48

Substitute the values into equation (1) to have:

PV = $850 * ((1 - (1 / (1 + 0.01))^48) / 0.01)

PV = $850 * 37.9739594934803

PV = $32,277.87

<u>Calculation of the maximum price you can pay for the car</u>

Given in the question is initial payment of only $1,200.

The present value of the monthly payments calculated above is $32,277.87.

Therefore, we have:

Maximum price = Initial payment + Present value of the monthly payments = $1,200 + $32,277.87 = $33,477.87

Therefore, the maximum price you can pay for the car is <u>$33,477.87</u>.

b. How much can you afford if you finance the purchase over 60 months? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

This can also be determined as follows:

<u>Calculation of the Present Value (PV) of the monthly payments</u>

To calculate this, we use equation (1) in part (a) above, change number f months to 60 and proceed as follows:

PV = Present value of the monthly payments = ?

P = Monthly payment = $850

r = monthly interest rate = annual percentage rate (APR) / 12 = 12% / 12 = 1%, or 0.01

n = number of months = 60

Substitute the values into equation (1) to have:

PV = $850 * ((1 - (1 / (1 + 0.01))^60) / 0.01)

PV = $850 * 44.9550384062241

PV = $38,211.78

<u>Calculation of the maximum price you can pay for the car</u>

Given in the question is initial payment of only $1,200.

The present value of the monthly payments calculated above is $38,211.78.

Therefore, we have:

Maximum price = Initial payment + Present value of the monthly payments = $1,200 + $38,211.78 = $39,411.78

Therefore, the maximum price you can pay for the car is <u>$39,411.78</u>.

5 0
3 years ago
The Smiths are purchasing a completely furnished cottage on a lake. They have obtained a deed of trust loan to cover the price o
Pachacha [2.7K]

The type of financing that includes the purchasing of furnished cottage on a lake with the full deed is called as a package deed of trust

Explanation:

Package deed of trust will involve the third party and they will serve as the trustee in between the lender and the borrower and the property will be in the hands of the trustee until the lender pay off the the loan

This will transferred with the legal property and they will hold the security loan and it will be made equitable and the title will remain with the borrower until they pay of the money

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Ally just bought a plane ticket. She notices that the fare includes a September 11 Security Fee. What is the government’s purpos
anyanavicka [17]
Its a to pay for security at airports
3 0
3 years ago
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