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3 years ago

Use the following information to perform the calculations below (using the indirect method).

Business

1 answer:

daser333 [38]3 years ago

7 0

Answer:

a) cash flow from operating activities

net income $650,000

adjustments:

depreciation expense $96,000

accounts payable $38,000

accounts receivable -$22,800

inventory -$57,000

prepaid insurance -$8,400

net cash flow from operating activities $695,800

b) cash flow from investing activities

Sale of long term investments $57,500

Purchase of long term assets -$610,000

Long term assets exchanged for common stocks $113,000

net cash flow from investing activities -$439,500

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One of the greatest advantages of hedging with currency futures is _______. Select one: a. they have flexible contract sizes of

galina1969 [7]

Answer:

c. they are available every day of the year

Explanation:

These are some more facts related to futures contracts:

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please refer to link for more details https://www.upcounsel.com/difference-between-futures-and-forward-contracts

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3 years ago

A project has annual depreciation of $17,900, costs of $90,500, and sales of $131,500. the applicable tax rate is 40 percent. wh

marin [14]

The operating cash flow is $31,760.

<h3>What is operating cash flow?</h3>

In financial accounting, operating cash flow (OCF), cash flow provided by operations (CFO), cash flow from operating activities (CFO), or free cash flow from operations (FCFO) refers to the amount of cash generated by a company from its revenues, excluding costs associated with long-term capital investment or securities investment.
Operating activities comprise any spending or cash sources involved in a company's day-to-day business operations.
Operating cash flow is defined by the International Financial Reporting Standards as cash generated from activities less taxation and interest paid.

To calculate the operating cash flow:

Operating Cash Flow = Operating Income + Depreciation – Taxes + Change in Working Capital
(131,500-90,500)(1-0.40)+(17,900×0.40)
= $31,760

Therefore, the operating cash flow is $31,760.

Know more about operating cash flow here:

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2 years ago

Projecting that it might temporarily fall short of legally required reserves in the coming days, the Bank of Beano decides to bo

valina [46]

Answer:

he interest rate on the loan is called the Discount Rate

Explanation:

Discount Rate - The discount rate relates to the interest rate paid on loans from the Federal Reserve Bank by business banks and other economic organizations through the discount window credit system.

And other definition of discount rate is the discount rate relates to the rate of interest used during the Discounted Cash Flow (DCF) assessment to assess the current value of future revenues.

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4 years ago

Sinto Investments is in the process of developing a 300-mile toll road that will run through federal land. Sinto will likely nee

Bas_tet [7]

Answer: Sinto will likely need an environmental impact statement.

Explanation: An environmental impact statement is a statement that is required when an activity that will affect the human environment is about to be carried out. This statement highlights the pros and cons of the activity that is to be carried out in the environment. Like in the question, a 300-mile toll road that will run through federal land will definitely have an impact on the environment, hence the requirement for an environmental impact statement.

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4 years ago

National Financial Services, Inc. invested $ 24,000 to acquire 5,000 shares of Stonebridge Investments, Inc. on March 15, 201

Savatey [412]

Answer:

A. Gain on Disposal will be credited

Explanation:

In this question we have to compare the purchase price and sale price per share which is shown below:

The Purchase price per share would be

= Total amount invested ÷ number of shares acquired

= $24,000 ÷ 5,000 shares

= $4.8 per share

And, the sale price per share would be

= Total amount ÷ number of shares sold

= $13,250 ÷ 2,000 shares

= $6.625 per share

Since the sale price per share is higher than the purchase price per share which reflects the gain.

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4 years ago