An increase in inventory is deducted from net income

Assignment Help Managerial Accounting
Reference no: EM13957140

1. Explain why, under the indirect method, an increase in inventory is deducted from net income to arrive at net cash provided by operating activities.

Reference no: EM13957140

Questions Cloud

What is a pseudo force : Draw the free body diagram of the upper block "as seen" i) from the frame of reference of the table (or ground), ii) from the frame of reference of the lower block.
Probability that you will have to wait longer than 10 minute : What is the probability that you will have to wait longer than 10 minutes
Non-substantive sustainability-functional integrity : In your own words, describe what Thompson means by "functional integrity" and "resource sufficiency" -- the two paradigms he proposes for practically conceptualizing sustainability. Then, explain what Thompson means by "non-substantive sustainabil..
Monthly return for the mutual fund twcux : The following regression line shows how the monthly return for the mutual fund TWCUX (Twentieth Century Ultra Fund) is mathematically related to the S&P500 monthly return.
An increase in inventory is deducted from net income : Explain why, under the indirect method, an increase in inventory is deducted from net income to arrive at net cash provided by operating activities.
Comment on its new goals and the criteria : OSHA has a Strategic Management Plan for 2003-2008. Briefly summarize that plan and comment on its new goals and the criteria used for target industries. Have any of the new goals from this plan had, or will have, an effect on your workplace? Expl..
Develop an estimated regression equation : Use these data to develop an estimated regression equation that could be used to predict the price of a hydration system given its weight.
Determine the work done by the force f on the object : A 5.0 kg object moving on a horizontal surface has an initial velocity, vi=(5.0i+10.0j) when a force F acts on the object for 3 seconds after which velocity is vf=(10i+30j) m/s. Determine the work done by the force F on the object.
Is it to your advantage to switch : At this point, he would then ask you if you wanted to switch to the other door before revealing what you had won. Is it to your advantage to switch? (Hint: The answer might depend on p.)

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Consider there is a well-financed one-year-old company in

consider there is a well-financed one-year-old company in the biotech industry that is concentrating on developing

  Transfer pricing decisions

As a manager, you may be tasked with making recommendations as to how your organization should structure its transfer pricing. This is especially true in cases when both variable or full cost transfer pricing is acceptable, and the choice is not obvi..

  Business solutions inc is an accounting firm that is owned

business solutions inc. is an accounting firm that is owned and managed by chad lomax chicago illinois. it is a small

  Relevant costs-reduced selling price

What relevant costs might you consider in deciding whether to accept the order at reduced selling price? What costs would you not consider when making your decision? Why are these costs not relevant?

  Calculate the amount needed per employee

Calculate the amount needed per employee if the discount rate is not 10%, but 6%. If the workforce numbers 3,000, what is the total difference in cost between these two assumptions?

  What is the expected rate of return to an investor

What is the expected stock price 4 years from now? The discount rate is 10%. What is the expected rate of return to an investor who buys the stock now and sells it in1 year?

  Job order costing systems

The law firm of Tilton and Henderson accumulates costs associated with individual cases, using a job order cost system. The following transactions occurred during June:

  Finlon upholstery inc uses a job-order costing system to

finlon upholstery inc. uses a job-order costing system to accumulate manufacturing costs. the companys work-in-process

  Cash budget comprehensive following are the budgeted

Cash budget comprehensive Following are the budgeted income statements for the second quarter of 2013 for SeaTech, Inc.:

  Calculate the cost of the material-handling activity

Calculate the cost of the material-handling activity. Label the cost assignments as driver tracing and direct tracing. Identify the resource drivers.

  What is the incremental profit over the profit earned

At the price calculated in part a, what is the incremental profit over the profit earned before the introduction of the Rover Plus-branded dog food?

  Journalize the transactions - big water boating corporation

Paid the cash dividends and issued the certificates for the common stock dividend - Journalize the transactions

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd