The cash flow on total assets ratio compared to the return on total assets ratio can be used as an indicator of earnings quality. rev: 11_16_2017_QC_CS-109699

A company’s income statement showed the following: net income, $124,000 and depreciation expense, $30,000. An examination of the company’s current assets and current liabilities showed the following changes as a result of operating activities: accounts receivable decreased $9,400; merchandise inventory increased $18,000; and accounts payable increased $3,400. Calculate the net cash provided or used by operating activities.

Use the following information to calculate cash paid for income taxes:           Income tax expense $ 50,000   Income tax payable, January 1   9,000   Income tax payable, December 31   7,000  

Cardarelli Corporation reported Net sales of $3.6 million and beginning Total assets of $0.9 million and ending Total assets of $1.3 million. The average Total asset amount is:

When analyzing the changes on a spreadsheet used to prepare a statement of cash flows, the cash flows from investing activities generally affect:

Which one of the following is representative of typical cash flows from operating activities?

Net sales divided by average total assets is the:

An adjusting entry often includes an entry to Cash.

All of the following regarding the current ratio are true except:

On January 1, a company issues 8%, 5-year, $300,000 bonds that pay interest semiannually. On the issue date, the annual market rate of interest is 6%. The following information is taken from present value tables:       Present value of an annuity for 10 periods at 3% 8.5302 Present value of an annuity for 10 periods at 4% 8.1109 Present value of 1 due in 10 periods at 3% 0.7441 Present value of 1 due in 10 periods at 4% 0.6756 What is the issue (selling) price of the bond?