Question
Which one of the following might cause a company to have a large cash inflow from...
Which one of the following might cause a company to have a large cash inflow from operations but a smaller net operating income?
a.The company recorded a large amount of depreciation expense for the year.
b.The company sold equipment during the year.
c.The company issued new common stock for cash.
d.Inventory increased by a large amount during the year.
Homework Answers
Answer #1
Option A. Is correct
Not the answer you're looking for?
Similar Questions
1. Hilton Company reported net income of $50,000 for the year. During the year, accounts receivable...
1. Hilton Company reported net income of $50,000 for the year.
During the year, accounts receivable decreased by $15,000, accounts
payable decreased by $2,000 and depreciation expense for the year
of $9,000 was recorded.
Net cash provided by operating activities for the year is:
2. Land costing $75,000 was sold for $115,000 cash.
The gain on the sale was reported on the income statement as other
income.
In addition, a building worth $400,000 was acquired by borrowing
the money on a...
Tyson Company has a pre-tax net cash inflow of $1,200,000. The company can claim depreciation expense...
Tyson Company has a pre-tax net cash inflow of $1,200,000. The
company can claim depreciation expense of $800,000 this year, and
is subject to a combined income tax rate of 24%. What is the
after-tax cash inflow for the year?
$1,104,000.
$456,000.
$1,200,000.
$400,000.
$96,000.
Indicate whether each of the following events would cause an inflow or an outflow of cash...
Indicate whether each of the following events would cause an
inflow or an outflow of cash and whether it would affect the
investing (I) or financing (F) activities on the statement of cash
flows.
(a) Repayments of long-term debt
(b) Sales of marketable securities
(c) Repurchase of company’s common stock
(d) Sales of common stock to investors
(e) Purchase of equipment
(f) Payment of dividends
(g) Purchase of marketable securities
(h) Borrowing from bank
(i) Sale of building
(j) Acquisition...
Which one of the following is a project cash inflow? Ignore any tax effects. Select one:...
Which one of the following is a project cash inflow? Ignore any
tax effects.
Select one:
Decrease in accounts payable
Increase in accounts receivable
Decrease in inventory
Depreciation expense
Equipment acquisition
) Basha Company &nbs
) Basha Company
Income Statement
For the year ended December 31, 2019
Sales
$70,000
Cost of goods sold
40,000
Gross margin
30,000
Depreciation expense
5,000
Other operating expenses
15,000
Operating income
10,000
Loss on sale of equipment
4,000
Income before taxes
6,000
Income tax expense
2,400
Net income
$3,600
Additional data on activities during 2019 are as follows:
• During 2019, Basha Company sold used equipment for
$3,000 that had cost $15,000 with accumulated depreciation of...
The following are the financial statements of Nosker Company. A.Prepare a statement of cash flows using...
The following are the financial statements of Nosker
Company.
A.Prepare a statement of cash flows using the indirect
method.
NOSKER COMPANY
Comparative Balance Sheets
December 31
Assets
2020
2019
Cash
$35,550
$20,750
Accounts receivable
32,300
19,250
Inventory
26,000
20,100
Equipment
59,500
77,200
Accumulated depreciation—equipment
(29,250
)
(23,600
)
Total
$124,100
$113,700
Liabilities and Stockholders’ Equity
Accounts payable
$28,700
$ 16,050
Income taxes payable
7,050
8,350
Bonds payable
27,700
32,300
Common stock
17,750
14,150
Retained earnings
42,900
42,850
Total
$124,100
$113,700...
Tyson Company has a pre-tax net cash inflow of $1,100,000. The company can claim depreciation expense...
Tyson Company has a pre-tax net cash inflow of $1,100,000. The
company can claim depreciation expense of $400,000 this year. The
company is subject to a combined income tax rate of 21%. What is
the after-tax cash flow for the year?
$700,000.
$869,000.
$1,018,000.
$953,000.
$1,100,000.
1) Which of the following is a method for reporting cash flows from operating activities that...
1) Which of the following is a method for reporting cash
flows from operating activities that begins with net income and
reconciles to cash flows from operating activities?
A.accrual method
B.direct method
C.indirect method
D.cashminus−basis method
2) Under the indirect method of preparing a statement of
cash flows, cash disbursed for the acquisition of a capital asset
is:
A.added in the financing activities section
B.added in the investing activities section
C.subtracted in the operating activities section
D.subtracted in the investing...
Sheridan Company reported net income of $67000 for the year. During the year, accounts receivable decreased...
Sheridan Company reported net income of $67000 for the year.
During the year, accounts receivable decreased by $7900, accounts
payable increased by $4500 and depreciation expense of $5200 was
recorded. Net cash provided by operating activities for the year
is
$84600.
$54600.
$65200.
$61800.
During the period, Sanchez Company sold some excess equipment at a loss. The following information was...
During the period, Sanchez Company sold some excess equipment at
a loss. The following information was collected from the company’s
accounting records
From the
Income Statement
Depreciation
expense
$
830
Loss on sale of
equipment
3,500
From the
Balance Sheet
Beginning
equipment
19,900
Ending
equipment
11,400
Beginning
accumulated depreciation
1,860
Ending
accumulated depreciation
1,760
No new equipment was bought during the period.
Required:
1. For the equipment that was sold, determine
its original cost, its accumulated depreciation, and the cash...
ADVERTISEMENT
Need Online Homework Help?
Get Answers For Free
Most questions answered within 1 hours.
ADVERTISEMENT
Active Questions
asked 10 minutes ago
asked 12 minutes ago
asked 15 minutes ago
asked 18 minutes ago
asked 26 minutes ago
asked 33 minutes ago
asked 33 minutes ago
asked 35 minutes ago
asked 41 minutes ago
asked 41 minutes ago
asked 42 minutes ago
asked 59 minutes ago