Ship-To-Shore Had a Net Income of $280,000 Last Year

question 87

Multiple Choice

Ship-to-Shore had a net income of $280,000 last year. Its expenses included depreciation of $55,000 and interest of $40,000. It sold new stock for which it received $20,000. The company also purchased a new commercial fishing boat for $40,000. What is Ship-to-Shore's net cash flow for last year?

• A)$395,000
• B)$355,000
• C)$315,000
• D)$280,000

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Definitions:

Equality

The state of being equal, especially in status, rights, and opportunities, often pursued as an economic and social policy objective.

Scarce Resources

Resources that are limited in availability and are used to produce goods and services, leading to the necessity of making choices about their allocation.

Efficiency

The effectiveness with which resources are used to produce goods and services, achieving the highest output with the lowest input.

Efficiency

The degree to which resources are used optimally to achieve a desired outcome, minimizing waste and maximizing output.