Useful Organizing Began Operations on January 1,20X3,when the Owners Invested

question 28

Multiple Choice

Useful Organizing began operations on January 1,20X3,when the owners invested $80,000 cash in the company.Also on January 1,the company paid for a $30,000 machine.The machine has a useful life of 4 years and a $2,000 residual value.During its first year of operations,the company had sales of $96,000 and operating expenses except depreciation of $67,000.All sales were cash sales and all non-depreciation operating expenses were paid in cash.Useful Organizing has a 30% tax rate and pays all taxes on December 31.What is the net cash provided by operating activities before taxes for 20X3,if Useful Organizing uses double-declining-balance depreciation?

• A)$(81,000)
• B)$(67,000)
• C)$ 14,000
• D)$ 25,000
• E)$ 29,000

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Definitions:

Real Numbers

A set of numbers that include both rational and irrational numbers, representing all possible magnitude and quantity values.

Probability Mass Function

A function that gives the probability that a discrete random variable is exactly equal to some value.

Discrete Random Variable

A type of random variable that can take on a countable number of distinct values.

Outcomes

Outcomes refer to the results or consequences of actions, processes, or interventions, which can be measured to assess effectiveness or impact.