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2 years ago

the total net cash flows from operating activities are identical under both the indirect and direct methods.

1 answer:

5 0

It is true that the total net cash flows from operating activities are identical under both the indirect and direct methods.

The operating activities is the section which records the money that the company brings in from its regular business activities.

It is important to understand that the two methods (indirect and direct methods) under Operating activities only differ in presentation formats and does not influence the net cash flow.

In conclusion, it is true that the total net cash flows from operating activities are identical under both the indirect and direct methods.

Read more about operating activities:

<em>brainly.com/question/25656124</em>

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Consider the relative liquidity of the following assets:

motikmotik

Answer:

Liquidity of an asset refers to how easily convertible the asset is to cash or so called liquid money.

Most Liquid - A $5 bill

This is already cash so it is the most liquid there is.

Second-Most Liquid - The funds in a money market account

Funds in a money market account are the second most liquid because most often they can simply be withdrawn from the fund. There might be limits on the number of withdrawals allowed though within a period.

Third-Most Liquid - A share in a publicly traded company

A share in a publicly trade company ranks here because to realize the cash, one would need to sell the share first.

Least Liquid - Your house

Your house will be the most difficult of these to liquidate as it will involve a much longer process to eventually get it sold and realize cash. The process will include but will not be limited to, advertising, hiring realtors, inspection etc.

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3 years ago

How to calculate the probablility that 2 or more people in a group have the same birthday?

Helen [10]

Check this link it should be a great help http://mathforum.org/dr.math/faq/faq.birthdayprob.html

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3 years ago

Prior to 2021, John Inc. used sum-of-the-years'-digits depreciation on its store equipment. Beginning in 2021, John Inc. decided

TEA [102]

Answer:

Would report depreciation expense of $400,000 in its 2021 income statement

Explanation:

Calculation to determine what John will report as depreciation expense

First step is to calculate the Book value at 1/1/2021

Book value at 1/1/2021= $3,000,000 [(5/15 x $3,000,000) + (4/15 x $3,000,000)

Book value at 1/1/2021= $1,200,000

Now let calculate the New depreciation

New depreciation= $1,200,000 ÷3

New depreciation= $400,000 per year for 2021-2023

Therefore To account for the change in 2021, John Inc.:Would report depreciation expense of $400,000 in its 2021 income statement

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3 years ago

The Fried Green Tomatoes Restaurant has increased its operating cycle from 97.4 days to 101.7 days while the cash cycle has decr

erastova [34]

Answer:

Increased by 7.2 days

Explanation:

As in the question it is mentioned that the operating cycle is increased from 97.4 days to 101.7 days so the difference in days is

= 101.7 days - 97.4 days

= 4.3 days

And, the cash cycle is decreased by 2.9 days

So, the total number of days would be

= 4.3 days + 2.9 days

= 7.2 days

These have been the negative impacts

The options that are mentioned in wrong and the above is the righ answer

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2 years ago

Which of the following best describes retained earnings? Select one: Shows in and out flows of cash from the company during a pe

jarptica [38.1K]

The option that best describes retained earnings is records level of reinvested profits.

<h3>What is retained earnings?</h3>

Retained earnings is the amount of a company's earnings that is not paid out to shareholders as dividends or used to pay debtors. It is the amount of money that can be reinvested into the business.

To learn more about retained earnings, please check: brainly.com/question/14529006

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2 years ago