List and discuss three ways in which the statement of cash flows helps financial statement users.
What will be an ideal response?
1. Predict future cash flows—Past cash receipts and payments help predict future cash flows.
2. Evaluate management decisions—Wise investment decisions help the business prosper, while unwise decisions cause the business to have problems. Cash flow information can help investors and creditors to evaluate managers' decisions.
3. Predict ability to pay debts and dividends—Lenders want to know whether they will collect on their loans. Stockholders want dividends on their investments. The statement of cash flows helps make these predictions.
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Disparate-impact discrimination occurs when a protected class is adversely affected by the practice or procedure of an employer who intended that result.
Answer the following statement true (T) or false (F)
Which of the following best illustrates communication noise?
A. A political candidate rides through town in a car with a loud speaker asking pedestrians to vote for her. B. A motorist doesn't hear a radio ad because she is being stopped by a police officer for speeding. C. A TV ad is recorded at a higher volume than is used for most TV shows. D. A Pepsi ad that has rap music in the background. E. Magazine sales reps telephone consumers to offer low-price subscriptions.
Additions and betterments are examples of capital expenditures
Indicate whether the statement is true or false
Just-in-time (JIT) delivery
A. increases storing and handling costs. B. requires customers to have high quality standards in physical distribution activity. C. is always the best approach. D. shifts responsibility for physical distribution activities forward in the channel. E. reduces customers' physical distribution costs.