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Mars2501 [29]
3 years ago
14

The net decrease in Prepaid Expenses (Prepaid) amounts to $30,000 and the net decrease in Accounts Payable (AP) is $20,000. Assu

ming no inventory provision involved, what is the net effect of Inv and AP on the adjustments to Net Income if the indirect method is used in the Statement of Cash Flows
Business
1 answer:
tester [92]3 years ago
7 0

Answer:

Net decrease in prepaid expenses of $30,000 will be added to the net income in adjustments to net income because it will be considered that working capital (inventory or any other expense) has been generated by the operations.

Net decrease in Accounts payable of $20,000 will be deducted from net income in adjustments to net income because decrease in accounts payable means that cash has been paid to the outstanding payables.

Net effect of the above transactions is $30,000 - $20,000 = $10,000

So, net income will be increased by $10,000 as net effect of the above adjustments.

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When using the benefi t-cost ratio measure of worth, what benchmark is the calculated ratio compared to in determining if an ind
Mazyrski [523]

Answer:

1.0

Explanation:

Benefit-cost ratio BCR can be expressed in monetary or qualitative terms. It presents the relationship between the relative costs and benefits of a proposed project.

If a project has a BCR greater than 1.0, the project is expected to be attractiveto a firm and its investors.

If a project's BCR is less than 1.0, the project's costs outweigh the benefits, and it should not be considered because it is unattractive.

3 0
3 years ago
A.J., a 20-something college graduate, was recently hired as a financial-analyst assistant for a large company. He recalled that
Helga [31]

Answer:

prepare an expense record, and make certain that his credit is good so he can continue to spend more than he makes

Explanation:

Since in the question it is mentioned that an individual is recently hired as a financial analyst for a big company he remebered that how he can manage his personal finance and the financial concerns so in order to maintain its approach with respect to his own finance we should suggest that first prepare the record of an expense and also certain about the good credit score so that he is able to spend more

Therefore the first option is correct

4 0
3 years ago
Is it possible to decrease inflation without causing a recession and its concomitant increase in unemployment? The orthodox answ
NeTakaya

Answer:

The answer is: E) It would not necessarily be considered high elsewhere

Explanation:

Usually the inflation rate in the US and Europe is around 1-3%. In the early 1980's the US inflation rate was above 10% so it was considered huge. But if you consider it against inflation rates in other countries, like Argentina for example, which currently has an annual inflation rate of over 60% then it wasn't that big. During the 1980's many countries suffered from hyperinflation, with monthly inflation rates of over 50%.

So the high inflation rate in the US and Europe wasn't necessarily high for other countries.

5 0
3 years ago
In many developing countries, the majority of citizens make their living through microenterprises- informal, tiny businesses tha
natita [175]

Answer:

The company provides micro financial services to poor and the needy people having no access to regular banking services

This helps to boost small businesses and financial inclusion which are heart of any economy and vital to the economy and promoting growth.

Possible measures taken by the organization includes providing funds for at lower interest rates and providing credit services. Subsidized credit to deficient areas increases productivity and employment growth by means of boosting the small and medium-sized enterprises.

This may work in poor communities in United States. However in united schemes there are lots of other governmental schemes such as coupons, free food etc program are already running.

However, these programs are also carrying a potential here. But there potential is much greater in poor countries having less developed banking and financial reach.    

Explanation:

6 0
3 years ago
If your economics class were graded on a curve and everyone agrees to study only half as much, everyone would get the same grade
34kurt
STUDY!!!!!!!!!!!!!!!!!!!
6 0
3 years ago
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