Question
1) A transaction where a company receives money from customers for products to be delivered in the future should be recorded as a. Revenue and
1) A transaction where a company receives money from customers for products to be
delivered in the future should be recorded as
a. Revenue and an asset
b. An asset and a liability
c. Revenue and a liability
2) You have the following information for Star, Inc. for its 2017 FY
Net Income. $20 million
Depreciation. $2 million
Accounts receivable. $3 million decrease from the previous FY
Inventory. $4 million increase from the previous FY
Accounts payable. $5 million increase from the previous FY
What is Stars operating cash flow for FY 2017?
a. $22 million
b. $26 million
c. $14 million
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