Below Is an Example of an Incorrectly Prepared Statement of Cash

question 64

Multiple Choice

Below is an example of an incorrectly prepared statement of cash flows. The descriptions of activities are correct. $\begin{array}{l}\text { Cash from operating activities }\\\begin{array}{lr}\text { Net income } & \$ 60,000 \\\text { Depreciation } & (4,000) \\\text { Increase in accounts receivable } & (2,000) \\\text { Increase in deferred tax liability } & (1,000) \\&\$53,000\\\\ \text { Cash from investing activities } &\\ \text { Purchase of marketable securities} &(\$48,000) \\ \text {Dividends paid } &(\$46,5000) \\\\\text { Cash from financing activities } & \\\text { Increase in short-term debt } & \$(500) \\\text { Increase in long-term debt } & (2,500) \\& \$(3,000) \\\text { Increase in cash } & \$ 3,500\end{array}\end{array}$
-The correct cash flows from investing activities is:

• A)($41,000).
• B)($45,500).
• C)($48,000).
• D)None of the above

Identify the steps and participants in the initial phases of a civil litigation case.

Understand the concept of monopoly and its impact on market efficiency.

Identify the conditions under which monopolies lead to deadweight loss.

Analyze the effect of monopoly pricing on consumer and producer surplus.

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Definitions:

Wage Differentials

The variation in wage rates paid to different groups of workers, often based on skill, location, industry, or job function.

Human Capital

The stock of knowledge, habits, social and personality attributes, including creativity, embodied in the ability to perform labor so as to produce economic value.

Personal Prejudice

An unfounded or irrational bias towards individuals or groups based on characteristics such as race, gender, religion, or sexual orientation.

Demand for Plumbers

The need or desire for plumbing services in a market, which can vary based on factors like housing development and maintenance requirements.