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The net decrease in Prepaid Expenses (Prepaid) amounts to $30,000 and the net decrease in Accounts Payable (AP) is $20,000. Assuming no inventory provision involved, what is the net effect of Inv and AP on the adjustments to Net Income if the indirect method is used in the Statement of Cash Flows?

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11. Question 11 The net decrease in Prepaid Expenses (Prepaid) amounts to $30,000 and the net decrease in Accounts Payable (AP) is $20,000. Assuming no inventory provision involved, what is…

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Company A purchased 1% of Company B’s outstanding stock for $50,000 as a short-term investment. Which of the following related to the purchase will be found in the Statement of Cash Flows?

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9. Question 9 Company A purchased 1% of Company B’s outstanding stock for $50,000 as a short-term investment. Which of the following related to the purchase will be found in…

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The beginning balance in Retained Earnings is $20,000 and the ending balance is $50,000. Net Income is $70,000. Which of the following will be found in the Statement of Cash Flows prepared using the Indirect Method?

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7. Question 7 The beginning balance in Retained Earnings is $20,000 and the ending balance is $50,000. Net Income is $70,000. Which of the following will be found in the…

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In year 1, Company A has the following info in its financial statements: Retained Earnings (ending balance) of $95,000; Revenue of $100,000, Expenses (including tax expense) of $30,000, and dividends declared $7,000. What amount will be shown as Net Income in Income Statement?

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3. Question 3 In year 1, Company A has the following info in its financial statements: Retained Earnings (ending balance) of $95,000; Revenue of $100,000, Expenses (including tax expense) of…

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The beginning balance in Loan Payable on Company A’s Year 2 Balance Sheet is $180,000. The company took out new loans of $200,000 during Year 2, and repaid $40,000 of loans. What is the beginning balance in Loan Payable on the Year 3 Balance Sheet? Assuming no other transactions affected the account during the year.

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12. Question 12 The beginning balance in Loan Payable on Company A’s Year 2 Balance Sheet is $180,000. The company took out new loans of $200,000 during Year 2, and…

Financial Accounting Fundamentals | Online Course Support

The net decrease in Prepaid Expenses (Prepaid) amounts to $30,000 and the net increase in Accounts Payable (AP) is $20,000. Assuming no inventory provision involved, what is the net effect of Inv and AP on the adjustments to Net Income if the indirect method is used in the Statement of Cash Flows?

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11. Question 11 The net decrease in Prepaid Expenses (Prepaid) amounts to $30,000 and the net increase in Accounts Payable (AP) is $20,000. Assuming no inventory provision involved, what is…

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The beginning balance in Accounts Payable on Company A’s Year 2 Balance Sheet is $180,000. The company purchase on account inventory of $200,000 during Year 2, and paid suppliers $40,000 in cash. What is the beginning balance in Accounts Payable on the Year 3 Balance Sheet? Assuming no other transactions affected the account during the year.

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8. Question 8 The beginning balance in Accounts Payable on Company A’s Year 2 Balance Sheet is $180,000. The company purchase on account inventory of $200,000 during Year 2, and…

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The net increase in Accounts Receivable (AR) amounts to $30,000 and the net increase in Wages Payable (WP) is $20,000. Assuming no accounts were written off for lack of payment, what is the net effect of AR and WP on the adjustments to Net Income if the indirect method is used in the Statement of Cash Flows?

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4. Question 4 The net increase in Accounts Receivable (AR) amounts to $30,000 and the net increase in Wages Payable (WP) is $20,000. Assuming no accounts were written off for…

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The beginning balance in total assets is $100,000 and total liability $30,000. The ending balance in total assets is $110,000 and total liability $40,000. Which of the following is possible?

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1. Question 1 The beginning balance in total assets is $100,000 and total liability $30,000. The ending balance in total assets is $110,000 and total liability $40,000. Which of the…

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The balance in PP&E on Company A’s Year 1 Balance Sheet is $20,000. The company purchase PP&E of $37,000 during Year 2. Depreciation expense recorded during Year 2 totaled 5,000. The company sold some equipment with a net book value of $2,000. What is the balance in PP&E on the Year 2 Balance Sheet? Assuming no other transactions affected the account during the year.

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5. Question 5 The balance in PP&E on Company A’s Year 1 Balance Sheet is $20,000. The company purchase PP&E of $37,000 during Year 2. Depreciation expense recorded during Year…