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3 years ago

Create a cash flow statement for your own finances. Why are cash flow statements useful in managing money?

1 answer:

7 0

Answer:

Cash flows tell us about the company’s actual outflows and inflows of cash in particular period such as quarter or year or others. This very important for business as cash flow from main operations helps the company to see whether they are generating enough to invest in growth projects or not.

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Answer this question on the basis of the given information for an economy in 2016. dollar value of resource extraction activity

Flura [38]

<span>Basis of the given information for an economy in 2016. Dollar value of resource extraction activity = $20 billion Dollar value of production activity = $50 billion Dollar value of distribution activity = $80 billion Dollar value of final output = $110 billion Gross output for this economy in 2016 equals $260 billion.</span>

6 0

3 years ago

Esther lugo has gone for an interview at an advertising firm in manhattan and has been asked to complete a self-report survey to

postnew [5]

These characteristics about Lugo indicate her <u>"personality".</u>

Personality alludes to individual contrasts in characteristic patterns of reasoning, feeling and carrying on. The study of personality centers around two expansive territories:

One is understanding individual differences specifically personality qualities, for example, amiability or touchiness.

The other is seeing how the different parts of a man meet up all in all.

6 0

3 years ago

Suppose the spot exchange rate for the Canadian dollar is Can$1.12 and the six-month forward rate is Can$1.14.

andreyandreev [35.5K]

Answer:

Explanation:

Given that:

1$ = Can $1.12

It takes a value of 1 U.S dollar to have 1.12 Canadian dollars. This signifies that the U.S dollar is worth more than Canadian dollars.

Assuming that the absolute Purchasing Power Parity PPP holds,

Since 1$ = Can $1.12, the cost in the United States of an Elkhead beer, if the price in Canada is Can$2.85 can be determined to be:

= $\dfrac{2.85}{1.12}$

= $2.545

Yes, the U.S. dollar is selling at a premium relative to the Canadian dollar.

This is because we are being told that the spot exchange rate for the Canadian dollar is Can $1.12 & in six (6) months time the forward rate will be Can $1.14.

The U.S dollar is expected to appreciate in value because it is trading at a premium in the forward market.

Canada has higher interest rates. This determined by using the formula:

= $\dfrac{(\dfrac{Fwd}{Spot }-1)}{n}$

where; n= numbers of years = 6 month/12 month = 0.5 year

Then;

$=\dfrac{(\dfrac{1.14}{1.12 }-1)}{0.5}$

$= \dfrac{(1.0178-1)}{0.5}$

$= \dfrac{(0.0178)}{0.5}$

= 0.0356

= 3.56%

6 0

3 years ago

During February 2017, its first month of operations, the owner of Schwenn Enterprises invested cash of $100,000. Schwenn has cas

olchik [2.2K]

Answer:

Cash balance is $85,000

Explanation:

In determining the cash balance of the period, we must know how much is the inflow and outflow of the cash for the period and add it or deduct to the beginning balance. It is simply, beginning balance plus inflows less outflows. February is the first month of the operation of Schwenn Enterprises, that only means the possible beginning balance of the cash is the cash investment. So to further discuss it clearly, let’s do the computation.

Beginning balance on February $100,000

Add: inflow

Cash sales $20,000

Less: outflow

payment on expenses $35,000

CASH BALANCE AT FEBRUARY 28 $85,000

7 0

3 years ago

At the beginning of the year, accounts receivable were $146,000 and the allowance for bad debts was $11,700. During the year, sa

Julli [10]

Answer:

Ending balance Accounts Receivable $153,800 Ending balance Allowance for Bad Debts $14,300

Net Accounts Receivable at end of year $139,500

Explanation:

Calculation for the balances at the end of the year for both Accounts Receivable and Allowance for Bad Debts accounts

T ACCOUNT

ACCOUNT RECEIVABLE

DEBIT SIDE

Beginning balance $146,000

Sales on account $602,000

Total $748,000

Ending balance $153,800

($748,000-$594,200)

CREDIT SIDE

Cash collections $582,000

Bad Debts written off $12,200

Total $594,200

T ACCOUNT

ALLOWANCE FOR BAD DEBT

DEBIT SIDE

Bad Debts written off $12,200

Total $12,200

CREDIT SIDE

Beginning balance $11,700

Bad debts expense $14,800

Total $26,500

Ending balance $14,300

($26,500-$12,200)

Calculation for Net Accounts Receivable at end of year:

Net Accounts Receivable at end of year = ($153,800-$14,300)

Net Accounts Receivable at end of year=$139,500

Therefore the Ending balance for Accounts Receivable is $153,800 and Allowance for Bad Debts is $14,300 while the Net Accounts Receivable at end of year is $139,500

4 0

3 years ago