how to find net operating working capital

Q: The partner’s capital (profit and loss ratio in parentheses) of Bob, Dex, Larry, and Rey on February...

A: The partnership comes into existence when two or more persons agree to do the business and further s...

Q: arent Corporation issued on March 31, 2021 500,000 shares of its P10 par ordinary shares, P40 market...

A: Purchase consideration paid to subsidiary A = Number of shares issued by parent x Fair market value ...

Q: pany discovered a computational error of P150,000 in the calculation of the December 31, 2021 invent...

A: Retained earnings refers to the amount which company remained from profit after paying all the divid...

Q: The corporate charter of Carla Vista Corporation allows the issuance of a maximum of 30,800,000 shar...

A: Solution: When common stock are issued at a price greater than face value, common stock account is c...

Q: business transactions. Determine the effect on assets, liabilities, and owner's equity of the follow...

A: Accounting refers to recording, analysing, communicating as well as interpreting the results to end ...

Q: Required: Journalize the above business transactions in general journal form.

A: Journal entries recording is the first step in accounting cycle process, under which atleast one acc...

Q: Catalina Corporation begins the year with a $195 balance in Retained Earnings and a $320 balance in ...

A: Stockholders' equity represents the amount of funds remaining with the entity after payment of all t...

Q: Catalina Corporation begins the year with a $195 balance in Retained Earnings and a $320 balance in ...

A: GIVEN   Catalina Corporation begins the year with a $195 balance in Retained Earnings and a $320 bal...

Q: Exercise 7-11 (Algo) Unearned revenues—customer deposits LO 3 Skip to question   [The following inf...

A: Journal Entry The basic process of accounting work is to journalize the required transaction into de...

Q: Max Company has chosen to use an allowance account. When the cost of goods sold method is used with ...

A: Full form of NRV is Net Realizable Value.  

Q: Yuanne Sipp and Letitia Grimes share partnership income on a 3:2 basis. They have capital balances o...

A: Total capital of existing partnership after admission of Tammy tuck = 550,000 + 284,000 + 240,000 = ...

Q: When share options granted vest base on a service condition (ifrs2)   a. Total fair value of the sha...

A: When Share options granted vest base on a service condition as per IFRS 2 Share based payments Share...

Q: Bulldogs Inc. has a variable cost ratio of 20% and a 10% receivable financing cost. The firm is plan...

A: Following is the calculation of Accounts Receivable balance under old credit standard.

Q: The company’s usage of the Baumol model in cash management involves trade-off.

A: The Baumol cash management model balances opportunity cost, carrying cost, and holding cost against ...

Q: Bulldogs Inc. maintains a cash buffer for unexpected cash outlays for the year amounting to 3,000. B...

A: Buffer cash is the amount of money that any business keeps aside for unplanned expenses in the near ...

Q: Prosperity Company holds 40% of the voting rights of MNO Co. The remaining shares was held by thousa...

A: The rights of the investment holding to other companies are determining the the percentage of voting...

Q: On December 31, 2019, the balance sheet for the XYZ Partnership follows: The percentages shown are ...

A: At the time of liquidation first the outside liabilities are settled and then if any cash remain it ...

Q: The shareholders' equity of Garnet Corporation on December 31, 2021 showed the following items: 8% P...

A: Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for yo...

Q: Which is correct with regards to the effects of restricting credit standards? a. Investment in acco...

A: Restricting credit standard means company strict the credit policy. When company is more concerned a...

Q: If the excel spreadsheet looked like this how would you set it up?

A: Budgeted Income Statement The purpose of preparing the budgeted income statement which knows the det...

Q: Provided the specified vesting conditions, if any, are met, share-base payment arrangement is an arr...

A: share best payment in generally transaction in which the entity receives goods or services for consi...

Q: Prince Corporation holds 75 percent of the common stock of Sword Distributors Inc., purchased on Dec...

A: Journal entry refer to recording of transactions into the day book of the company and it is vital st...

Q: Delow is the balance sheet of Gold Ace Company immediately liquidation of the partnership: P500,000....

A: Statement of liquidation shows the net cash available to pay the creditors and the partners.

Q: The carrying cost curve and ordering cost curve of Bulldogs Inc.'s inventory intersect at 3,50 units...

A: the concept of economic order quantity for me is applicable where there is ideal order quantity. is ...

Q: The following stockholders’ equity accounts, arranged alphabetically, are in the ledger of Bonita Co...

A: Stockholders' equity: Stockholders' equity means the net assets available to shareholders after dedu...

Q: Catalina Corporation begins the year with a $195 balance in Retained Earnings and a $320 balance in ...

A: Stockholder's equity comprises of common stock and retained earnings balance.

Q: Bulldogs Inc. has a variable cost ratio of 20% and a 10% receivable financing cost. The firm is plan...

A:

Q: Which of the following would best explain an increase in receivables turnover?     The company adopt...

A: Receivables turnover is a financial ratio that helps in identifying the ability of the company in co...

Q: The condensed balance sheet of C Company as of December 31, 2020 is shown below:   On January 1, 2...

A: Business combination refers to the combination of transaction or event under which the investor enti...

Q: On January 1, 2021, Parent Co. acquired 80% of Subsidiary Inc's outstanding stocks for P1,600,000 ca...

A: Total Assets = Parents asset after consolidation + Fair value of identifiable assets acquired + Good...

Q: Which is false about long-term sources of a firm's capital? * , O All types of corporations may issu...

A: Who can issue equity securities to public:- Only large publicly-held corporation can issue equity se...

Q: Question: Explain the steps of the preparation of the trial balance.

A: The financial statements of the business including income statement, and balance sheet are prepared ...

Q: How much is charged to Retained Earnings?                                    a. 1,250,000

A: 1. Meaning of Bonus shares:  Bonus shares means additional shares issued to existing shareholders wi...

Q: ABC Company was incorporated on January 1,2021. The following are the ordinary share transactions du...

A: No. of shares outstanding = Total no. of shares issued - number of shares reacquired but not retired

Q: 2022, Draper Company discovered errors made in 2019-2021, its first thre years of operation 2021 202...

A: Calculations of Restated 2021 Net Income. Hence, Restated 2021 Net Income is $23,350.   Working Not...

Q: following is not a requisite of ‘object’?

A: This is a multiple choice question in which we have been given some options and we have to choose th...

Q: Which of the following is correct when the company is deciding if it will undertake an additional fu...

A: Additional Fund Needed (AFN) The purpose of calculating the Additional Fund needed (AFN) which can b...

Q: Statement 1: The estimated liability on contingent consideration is based on provisional amount subj...

A: Solution Estimated liability  is a liability That is absolutely owed because the services or goods h...

Q: Bulldogs Inc. currently fills mail orders from all over the country and receipts were received in it...

A: Estimated net annual savings in implementing the lockbox system = Savings in interest - Annual cost ...

Q: Bulldogs Inc. expected to sell in October 2021 1,000 units of Dell laptops with a purchase cost per ...

A: Lets understand the basics. Sales volume variance is a variance in which actual quantity sold compar...

Q: On June 1, 2020, ABC Company granted share options to key employees for the purchase of 42,000 of co...

A: Number of stock option = 42,000 Fair value of stock option = P10 Vesting period = 4 Years   

Q: Before preparing financial statements for the current year, the chief accountant for Crane Ltd. prov...

A: A journal entry is a form of accounting entry that is used to report a business transaction in a com...

Q: It is assumed that the Cost of equity and rate of return are both constant under Walter’s Model of D...

A: Option C is incorrect because when the Cost of Equity and the Rate of Return are both equal then the...

Q: Bulldogs Inc. expects to use 48,000 boxes of chocolate per year costing P12 per box. Inventory carry...

A: Total Boxes = 48,000 Cost per Box = P12 Inventory carrying cost = 20% Safety stock = 2,400 Order per...

Q: d. Bonds that will mature in 5 years are purchased. The company has a strategy to hold them to colle...

A: Bond is actually a financial instrument which falls under the category of debt because it is a loan ...

Q: The shareholder's equity of ABC Company at December 31,2018 is presented below: 12% Preference share...

A: The shareholder's equity is the claim of the shareholders on the business' assets. But the claim can...

Q: Crane Electric sold $6,240,000, 10%, 10-year bonds on January 1, 2022. The bonds were dated January ...

A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal....

Q: Which of the following should financial information not be? Group of answer choices Unsubstantiated ...

A: Lets understand the meaning of the financial information and how it should be. Financial information...

Q: Most home insurance policies cover jewellery and silverware for a limited amount unless items are co...

A: Amount not covered=Stolen Worth-Total Claim

Q: a. What was the purchase price of the bond?   b. What was the selling price of the bond?   c. Wh...

A: The purchase price of bond is calculated as present value of cash flows received from bond. The cash...