Answer:
$22,640
The explanation is shown below:-
Explanation:
The computation of cash flow from operating activities using the direct method is shown below:-
Direct method
Pizza International, Inc.
Statement of cash inflow
Cash flow from operating expenses
Cash received from customers $143,777
($143,951 - $174)
Cash Paid
To suppliers ($53,773)
($45,700 - $651 + $8,724)
To salaries and wages ($56,855)
For office expenses ($7,730)
($7,785 + $668 - $723)
For income tax expenses ($2,779)
($50 + $2,729)
Net cash inflow from operating
activities $22,640
It is mainly due to no depreciation expenses for cash products. Depreciation expenses do not contribute to cash outflows. Because of which company has reported large cash inflow from operations compared to near net loss.
Answer:
keep its price constant and thus decrease its market share.
Explanation:
A monopoly is a market structure which is typically characterized by a single-seller who sells a unique product in the market by dominance. This ultimately implies that, it is a market structure wherein the seller has no competitor because he is solely responsible for the sale of unique products without close substitutes.
Also, an oligopoly can be defined as a market structure comprising of a small number of firms (sellers) offering identical or similar products, wherein none can limit the significant influence of others.
Hence, it is a market structure that is distinguished by several characteristics, one of which is either similar or identical products and dominance by few firms.
On the other hand, duopoly can be defined as a market structure in which two companies (suppliers) or business firms own all or nearly all of the goods and services in a market. Thus, these two companies (suppliers) or business firms have an exclusive control over the goods and services in a market.
Hence, when a company (supplier) or business firm own increases its price in a duopoly, then the other company (supplier) or business firm can keep its price constant and thus decrease its market share.
Answer:
a. $390,000
b. $15.6
c. $28,860
Explanation:
depreciable cost = cost of asset - salvage value = $420,000 - $30,000 = $390,000
(b) The depreciation rate $ per hour = depreciable cost / estimated useful life = $390,000 / 25,000 = $15.6
The units-of-output depreciation for the year = $15.6 x 1,850 hours = $28,860
Answer:
$33.228 per share
Explanation:
The Dividend Valuation Model would be used to find the intrinsic value of the share which is as under:
Po = D1 / (r - g)
Here
D1 = Do * (1+g)
Do is the Dividend just paid now which is $3.12.
g = Growth rate which is 6.5%
r = required return which is 16.25%
Po = Intrinsic value of the unit share
By putting values we have:
Po = $3.12 * (1+6.5%) / (16.5% - 6.5%) = $33.228 per share