Operating expenses other than depreciation for the year were $400,000. Prepaid expenses increased by $17,000 and accrued expenses decreased by $30,000 during the year. Cash payments for operating expenses to be reported on the cash flow statement using the direct method would be
A) $353,000
B) $413,000
C) $447,000
D) $383,000
C
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Convertible bonds normally sell at a higher price than non-convertible bonds
a. True b. False Indicate whether the statement is true or false
Risk-avoiding cultures will
A. be more likely to seek further information. B. be less likely to take a wait-and-see stance. C. generally take more chances. D. be willing to move early on a deal.
Avatar Auto Parts Company uses the indirect method to prepare the statement of cash flows
Refer to the following section of the comparative balance sheet: Avatar Company Comparative Balance Sheet December 31, 2017 and 2016 2017 2016 Increase/(Decrease) Accounts Payable $4,000 $6,000 $(2,000 ) Accrued Liabilities 2,000 1,000 1,000 Long-term Notes Payable 84,000 90,000 (6,000 ) Total Liabilities $90,000 $97,000 $(7,000 ) How will the change in Accounts Payable be shown on the statement of cash flows? A) as an addition to Net Income B) as a deduction from Net Income C) as a deduction from investing cash flows D) as an addition to operating cash flows
Rolling Transport & Storage Corporation wants to insure its warehouse to obtain the maximum possible recovery for the lowest possible premium. To obtain the maximum recovery under a coinsurance clause, the percentage of the value of the property that should be insured is
A. 80 percent. B. 90 percent. C. 100 percent. D. 120 percent.