Jenny Has Started a Business Selling Computer Spare Parts and Wants

question 55

Essay

Jenny has started a business selling computer spare parts and wants to find a way of getting noticed online.She has heard that Google have a product called AdWords and she asks you to explain it to her.What do you tell her?

Identify the differences between the direct and indirect methods of reporting cash flows from operating activities.

Recognize the components and classifications of cash flows within the statement (operating, investing, and financing activities).

Distinguish between cash flows from operating activities and other activities (investing and financing).

Identify examples of cash flows from investing and financing activities.

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Definitions:

Trade Practice

Trade practice involves the customary ways in which trade is conducted within a particular industry, including standards of conduct, competition, and fair dealing.

Claim in Recoupment

A legal claim made in defense to a counterclaim, aiming to offset or reduce the amount of damages sought by the original claimant.

Personal Defense

Legal arguments or claims that an individual can use to avoid enforcement of a contract or demand based on issues personal to him or her.

Real Defense

Legitimate legal reasons that can be used to avoid the enforcement of a contract or negate an obligation.