Free cash flow is the measure of operating cash flow available for corporate purposes after providing sufficientfixed asset additions to maintain current productive capacity
a. True
b. False
Indicate whether the statement is true or false
True
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Southwest Airlines acquisition of rival AirTran Airways may have been responsible for a sharp decline in on-time arrivals, which is one of Southwest's ________ goals, supporting a larger goal of being highly profitable.
A. dependant B. strategic C. operational D. facilities E. tactical
Thompson Developers, Inc was selling a piece of undeveloped land to Williamson Builders. Third Escrow, Inc was the escrow agent for the transaction. The escrow instructions required Thompson to remove all mechanics' liens before closing. When Third
Escrow ran the title search, it discovered 3 mechanics' liens for $129; $250 and $79 respectively. Thompson assures Third it will pay the lien holders. Can Third Escrow close based on the assurances?
Wiswell Inc. reported the following results from last year's operations: Sales$15,200,000Variable expenses 9,270,000Contribution margin 5,930,000Fixed expenses 5,018,000Net operating income$912,000?The average operating assets were $8,000,000.?At the beginning of this year, the company has a $900,000 investment opportunity that would involve sales of $2,070,000, a contribution margin ratio of 30% of sales, and fixed expenses of $538,200. The company's minimum required rate of return is 10%. If the company pursues the investment opportunity, this year's combined residual income for the entire company will be closest to:
A. $104,800 B. ($19,800) C. $994,800 D. $925,600
One of the customers of Slate Stairways, Inc. paid $300 on her outstanding bill of $900. The journal entry that Slate Stairways would use to record the payment is:
A) debit Accounts Receivable $600, credit Revenue $600. B) debit Accounts Receivable $300, credit Cash $300. C) debit Revenue $600, credit Accounts Receivable $600. D) debit Cash $300, credit Accounts Receivable $300.