Homework Answers
3) Payment of Cash Dividend
Explanation:
- Payment of Cash Dividend will result in outflow of cash. And since, cash is liquid asset. It will result in decrease of liquidity level of a firm.
- Cash sale of Long term asset will result in inflow of cash. Meaning cash will increase, leading to increase in Liquidity level of a firm.
- Proceeds from long term loan will result in inflow of cash. Meaning cash will increase, leading to increase in Liquidity level of a firm.
- Cash sale of Inventory again will result in inflow of cash. Meaning cash will increase, leading to increase in Liquidity level of a firm.
- Collection of Account receivable will also result in inflow of cash. Meaning cash will increase, leading to increase in Liquidity level of a firm.
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Question 3 (1 point) Which one of the following will decrease the liquidity level of a...
Discussions Question 5 Which of the following will improve the liquidity of a firm? . Payment...
Discussions Question 5 Which of the following will improve the liquidity of a firm? . Payment of accounts payable O Cash purchase of new manufacturing equipment O Cash payment of advertising costs Credit sale of inventory at cost
1. Which one of the following actions will increase the current ratio, all else constant? Assume...
1. Which one of the following actions will increase the current ratio, all else constant? Assume the current ratio is greater than 1.0. a. Cash purchase of inventory b. Cash payment of an account receivable C Cash payment of an account payable d. Cash sale of inventory at a loss 2. The Equity Multiplier is equal to: @ One plus the debt-equity ratio b. One plus the total asset turnover C. Total debt divided by total equity d. Total equity...
1. a company has a current ratio of 3:1. which action will decrease this ratio? a....
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Listed below are several transactions. For each transaction, indicate whether the cash effect of each transaction...
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Listed below are several transactions. For each transaction, indicate whether the cash effect of each transaction...
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2. Match the following: (10 Marks) 1. An increase in long-lived assets using cash 2. A...
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I-RY Collapse QUESTIONS Which one of the following transactions will increase the liquidity (i.e. cash position...
I-RY Collapse QUESTIONS Which one of the following transactions will increase the liquidity (i.e. cash position of a firm? cash purchase of sew production equipment P etosteron credit account receivable) payment of employee was
I need help with this accounting homework assignment. Exercise 3: Statement of Cash Flows Required: Indicate...
I need help with this accounting homework assignment.
Exercise 3: Statement of Cash Flows Required: Indicate where each of the following would appear on a Statement of Cash Flows prepared using the direct method for the operating section: A. Cash flows from operating activities B. Cash flows from investing activities c. Cash flows from financing activities D. Schedule of significant noncash investing and financing activities E. Would not appear on a statement of cash flows prepared under the direct method...
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QUESTION 4 As a barometer of short-term liquidity the current ratio is limited by the nature...
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Discussions Question 5 Which of the following will improve the liquidity of a firm? . Payment of accounts payable O Cash purchase of new manufacturing equipment O Cash payment of advertising costs Credit sale of inventory at cost
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Listed below are several transactions. For each transaction, indicate whether the cash effect of each transaction is reported in a statement of cash flows as an operating, investing, financing, or noncash activity. Also, indicate whether the transaction is a cash inflow or cash outflow, or has no effect on cash. The first answer is provided as an example. Transaction Type of Activity Operating Cash Inflow or Outflow Cash outflow Financing Investing 1. Payment of employee salaries 2. Sale of land...
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2. Match the following: (10 Marks) 1. An increase in long-lived assets using cash 2. A decrease in current liabilities 3. A decrease in inventories purchased with cash 4. Sale of common shares to investors 5. A sale of merchandise on account to a good customer 6. The purchase of office supplies on account 7. Recognition of cost of goods sold in a perpetual inventory system 8. A contra asset account 9. A short term loan 10. A decrease in...
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I need help with this accounting homework assignment.
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