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3 years ago

How does the following transaction impact cash flow?

Business

1 answer:

Sloan [31]3 years ago

5 0

Answer:

Increase

The accounts receivable asset shows how much money customers who bought products on credit still owe the business; this asset is a promise of cash that the business will receive. Cash doesn’t increase until the business collects money from its customers.

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Noterman Company has credit sales of $600,000 in January. Past experience suggests that 40% is collected in the month of sale, 5

Rasek [7]

Answer:

Cash collected in January = $240000

Cash collected in February = $30000

Cash collected in march = $10000

Explanation:

We have given that Noteman company has credit sales of January = $60000

It is given that 40% is collected in the month of sale

So cash collected in January $=\frac{600000\times 40}{100}=$240000$

Cash collected in February $=\frac{600000\times 50}{100}=$30000$

Cash collected in march = $=\frac{600000\times 10}{100}=$10000$

7 0

3 years ago

Nancy, an employee at MegaWorks Corp., has been on the job for only a week. She needs to ask the accountant some questions, but

Ghella [55]

Answer:

D. Ask someone for the accountants name.

Explanation:

I say (D) because you only been working there for a week you just got hired so the other employees there shouldn't mind helping you out.

6 0

2 years ago

BD Corporation has purchased new computers to modernize the office. The increased efficiency from the computers will lead to inc

Inessa [10]

Answer:

BD Corporation should not purchase the new computers

Explanation:

initial outlay year 0 = -$300,000

increased productivity per year = $75,000 for years 1-5

discount rate = 8%

NPV = -$300,000 + $75,000/1.08 + $75,000/1.08² + $75,000/1.08³ + $75,000/1.08⁴ + $75,000/1.08⁵ = -$300,000 + $69,444.44 + $64,300.41 + $59,537.42 + $55,127.24 + $51,043.74 = -$300,000 + 299,453.25 = -$546.75

since NPV is negative, then the project should be rejected

we can also use an annuity factor to determine the present value of this annuity, PV = $75,000 x 3.9927 = $299,452.50

NPV = -$300,000 + $299,452.50 = -$547.50

5 0

3 years ago

Wilvade Inc. has modified the work timings for its employees. The employees of the company believe that the new timings are inco

Fiesta28 [93]

Answer:

a. empathetic listening

Explanation:

Empathetic listening is trying to understand the point the other person is trying to make and connect with him/her. An important characteristic is to listen to the other person without judging to be open to what is being said and really understand. So, the management of Wilvade Inc. is most likely using empathetic listening because they are trying to understand the employees concers and they want to address the situation.

6 0

2 years ago

Amazon.com and barnes and noble are in the same industry, but their primary difference can be defined as two companies that have

Alenkinab [10]

<span>their primary difference can be defined as two companies that have different : business models Amazon provide a medium so other sellers could sell their books through their sites. This way, they won't need any space for their house cause they sell other's product. Meanwhile, barnes and nobles is a book retailer, which means they produce and put their own books to the stores.</span>

6 0

3 years ago