Business, 25.12.2021 01:10, linz6227

Reliance Corporation has provided the following information for the year ended December 31, 2019: The equipment account balance increased $223,000. The equipment accumulated depreciation account balance increased $37,300. Equipment costing $54,600 was sold during the year resulting in a $13,450 gain. Depreciation expense recorded on the equipment during the year was $67,300. Which of the following statements is correct with respect to determining cash flow from operating activities? a. Using the indirect method, net income is decreased by the $30,000 sales price of the equipment.
b. Using the indirect method, net income is increased by the $66,800 depreciation expense.
c. Using the indirect method, net income is increased by the $12,700 gain on the sale of the equipment.
d. Using the indirect method, net income is increased by the $36,800increase in the accumulated depreciation account balance.

Answers: 1

Show answers

Other questions on the subject: Business

Business, 22.06.2019 06:40, Amber423

As a finance manager at allsports communication, charlie worries about the firm's borrowing requirements for the upcoming year. he knows the benefit of estimating allsports' cash disbursements and short-term investment expectations. facing these concerns, a(n) would provide charlie with valuable information by providing a good estimation of whether the firm will need to do short-term borrowing. capital budget cash budget operating budget line item budget

Answers: 3

continue

Business, 22.06.2019 12:30, chycooper101

Rossdale co. stock currently sells for $68.91 per share and has a beta of 0.88. the market risk premium is 7.10 percent and the risk-free rate is 2.91 percent annually. the company just paid a dividend of $3.57 per share, which it has pledged to increase at an annual rate of 3.25 percent indefinitely. what is your best estimate of the company's cost of equity?

Answers: 1

continue

Business, 22.06.2019 12:50, angelrenee2000

There is a small, family-owned store that sells food and household goods in a small town. the owners have good relations with the community, especially with local farmers who supply much of the food. the farmers aren't organized into a cooperative or union, and the store deals with each individually. suppose the store wanted to buy some farms to control the supply of certain vegetables. how would you classify this strategic move? select one: a. horizontal integration b. forward integration c. backward integration d. concentric integration

Answers: 2

continue

Business, 22.06.2019 16:00, ari313

What impact might an economic downturn have on a borrower’s fixed-rate mortgage? a. it might cause a borrower’s payments to go up. b. it might cause a borrower’s payments to go down. c. it has no impact because a fixed-rate mortgage cannot change. d. it has no impact because the economy does not affect interest rates.

Answers: 1

continue

Do you know the correct answer?

Reliance Corporation has provided the following information for the year ended December 31, 2019: Th...