[The following information applies to the questions displayed below.]Madison Company issued an interest-bearing note payable with a face value of $24,000 and a stated interest rate of 8% to Metropolitan Bank on August 1, Year 1. The note carried a one-year term.Based on this information alone, what is the amount of cash flow from operating activities reported on Madison's Year 1 statement of cash flows?
A. $800
B. $1,920
C. $24,000
D. $-0-
Answer: D
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A spreadsheet can help organize the information needed to prepare a statement of cash flows.
Answer the following statement true (T) or false (F)
Which of the following is FALSE concerning leadership in teams?
a. Leaders are optional when an organization moves to a group concept. b. The ability of a group leader to work toward task goals while contributing to the development of group and individual goals is often critical to group success. c. Leadership may be shared among several participants. d. The leader establishes norms and provides motivation for effective group activity.
Which of the following statements is CORRECT?
A. If you have a series of cash flows, each of which is positive, you can solve for I, where the solution value of I causes the PV of the cash flows will be more than the cash flow at Time 0. B. If you have a series of cash flows, and CF0 is negative but each of the following CFs is positive, you can solve for I, but only if the sum of the undiscounted cash flows exceeds the cost. C. To solve for I, one must identify the value of I that causes the PV of the positive CFs to equal the absolute value of the FV of the negative CFs. It is impossible to find the value of I without a computer or financial calculator. D. If you solve for I and get a negative number, then you must have made a mistake. E. If CF0 is positive and all the other CFs are negative, then you can still solve for I.
A small organization that does not have enough personnel to adequately segregate duties must rely on alternative controls, commonly called ______________________________.
Fill in the blank(s) with the appropriate word(s).