The gain on sale of equipment is deducted from net income to arrive at operating cash flows
Question:
The gain on sale of equipment is deducted from net income to arrive at operating cash flows because
a. the sale of long-term assets is a non-operating activity.
b. the gain does not reveal the total cash received.
c. all of the cash received from the sale is reported in the investing section.
d. all of the above.
e. none of the above.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 71% (7 reviews)
a the sale of longterm assets is a nonoper...View the full answer
Answered By
Marvine Ekina
Marvine Ekina
Dedicated and experienced Academic Tutor with a proven track record for helping students to improve their academic performance. Adept at evaluating students and creating learning plans based on their strengths and weaknesses. Bringing forth a devotion to education and helping others to achieve their academic and life goals.
PERSONAL INFORMATION
Address: , ,
Nationality:
Driving License:
Hobbies: reading
SKILLS
????? Problem Solving Skills
????? Predictive Modeling
????? Customer Service Skills
????? Creative Problem Solving Skills
????? Strong Analytical Skills
????? Project Management Skills
????? Multitasking Skills
????? Leadership Skills
????? Curriculum Development
????? Excellent Communication Skills
????? SAT Prep
????? Knowledge of Educational Philosophies
????? Informal and Formal Assessments
0.00
0 Reviews
10+ Question Solved
Related Book For
Cornerstones of Managerial Accounting
ISBN: 978-0324660135
3rd Edition
Authors: Mowen, Hansen, Heitger
Question Posted:
Students also viewed these Business questions
-
The gain on the disposal of equipment is deducted from profit when calculating net cash provided (used) by operating activities in the indirect method. Jacques doesn't understand why gains aren't...
-
An increase in inventories is deducted from net income to arrive at operating cash flow because a. cash payments to customers were larger than the purchases made during the period. b. cash payments...
-
Why would the gain on sale of temporary investments (classified as a cash equiv-alent) not be reflected on the SCF that is prepared using the indirect method to present operating activities?
-
Will has a business loan of $100,000, it is for 7 years with an interest rate of 9%. How much interest would he pay over those 7 years?
-
There has been considerable concern about the safety of Tasers (electroshock weapons) and their possible role in the death of approximately 300 people in North America. The danger associated with...
-
A system is maintained according to Policy 3 over an infinite time span. It has the same lifetime distribution and minimal repair cost parameter as in exercise 7.20. As with exercise 7.20, let...
-
Stabilized effluent from a hydrogenation unit as given below is to be separated by ordinary distillation into five relatively pure products. Four distillation columns will be required. According to...
-
In December 2010, Gomez Companys manager estimated next years total direct labor cost assuming 50 persons working an average of 2,000 hours each at an average wage rate of $15 per hour. The manager...
-
The following account balances are taken from Oriole Ltd's adjusted trial balance at June 30, 2024: Debit Credit Sales revenue $1,246,000 Advertising expense $124,000 Cost of goods sold 595,000...
-
Study the following case and answer the questions based on the information provided. Show your work Discount Electronics buys stereos for $830 get two discount, festive discount of 37,5% and another...
-
A decrease in accounts receivable is added to net income to obtain operating cash flows because a. cash collections from customers were greater than the revenues reported. b. cash collections from...
-
Which of the following is an investing activity? a. Issuance of a mortgage b. Purchase of land c. Increase in accounts receivable d. Increase in inventories e. All of the above
-
Explain why a product may have a different best price in different countries.
-
What is the process of filtration, and what are the underlying mechanisms that govern its functionality within various systems?
-
1. How does the political and legal environment affect the investment banking and securities brokerage industry in Australia? 2. Assess the challenges and potential opportunities caused by the...
-
What mechanisms underlie the process of desiccation in food preservation, and how does this method effectively inhibit microbial spoilage?
-
Nurse Managers are responsible for justifying budgetary variances typically on a monthly basis. For this assignment, analyze the Department Operating Report in a paper. Be sure to cover the following...
-
What are the mechanisms underlying the antimicrobial properties of halogens, and could you provide specific examples of their applications in various contexts?
-
Columbia Corporation plans sales of $2,000,000 for the coming period, which top management expects will result in a profit of $200,000. The break-even point has been determined to be $1,500,000 of...
-
14. In testing the existence assertion, an auditor ordinarily works from the a. Financial statements to the accounting records. b. General journal to the general ledger. c. Supporting evidence to the...
-
Classify each of the following key performance indicators according to the balanced scorecard perspective it addresses. Choose from financial perspective, customer perspective, internal business...
-
Complete the following statements with one of the terms listed here. You may use a term more than once. Some terms may not be used at all. a. A( n) _____ is a budget prepared for a different volume...
-
Complete the following statements with one of the terms listed here. You may use a term more than once. Some terms may not be used at all. a. A( n) _____ is a budget prepared for a different volume...
-
A firm owns three department stores. Each store has a debt-equity ratio of 16 percent and makes interest payments of $44,000 at the end of each year. The cost of the firm's levered equity is 18...
-
Belgian Bite Corp. is considering a project that has the following cash flow data. What is the project's IRR? Year 0 1 2 3 Cash flows $1,100 $450 $470 $490
-
4. The regular air fare between Boston and San Francisco is 419. An airline using planes on this route observes that they fly with an average of 236 passengers. Market research tells the airlines'...
Study smarter with the SolutionInn App