Answer:
Cash flow generated from financing activities: 5,200,000
Explanation:
Financing activities are the cash outflow and inflow from the company's debt and equity. Take and repayment of debt, interest on debt and dividend yield will be included in this section:
Cash received from issuance of notes payable 8,000,000
Dividends paid on Gorky common stock (800,000)
Repayment of notes payable <u> (4,000,000) </u>
Cash flow generated from financing activities: 5,200,000
The machinery and planyt building are not financing activities. So we ignore them.
Answer:
A cooperative effort among two or more organizations that share a common interest in a business enterprise or undertaking.
Explanation:
A joint venture is defined as a business agreement where two or more parties pool their resources together to achieve a common goal. Usually profits and losses are shared equally among the parties unless there is an agreement to share otherwise.
The joint venture is an independent entity that is seperate from its owners. That means any liability of the joint venture is not binding on the parties involved.
Answer:
Hence, the second statement describing the average inventory is false
Explanation:
<em>The Economic Order Quantity (EOQ) is the order size that minimizes the balance of ordering cost and holding cost. At the EOQ, the carrying cost is equal to the holding cost. It is the order size that optimizes the investment in stock ordering</em>.
The following statements
The number of orders = Annual demand/order size
Re-order level(point) Average daily usage × average lead time
Average inventory = safety stock × (1/2× order size)
The average Dollar value = Unit price × average inventory
Hence, the second statement describing the average inventory is false
Answer:
B
Explanation:
Companies recognize revenue when goods or services are transferred to customers for the amount the company expects to be entitled to receive in exchange for those goods or services.
When managers delegate work, three transfers occur. the three transfers are responsibility, authority, and accountability
