Answers:
a.
The change in cash increased and
there for reflected a use of funds. It was increased by $14,000. The
differences of sources and uses can be explained in the book by "One tool that can be used to
help you identify money inflows and outflows of a hospitality business is to
calculate its sources and uses of funds from its balance sheets from last
period to this period. Sources represent inflows and uses represent outflows of
funds for the hospitality business" (Dopson 147).
b.
Net
Recievables, "Money
owed by customers to a business calculated after subtracting any amounts that
may not be collectable"
(Dopson 480), also increases resulting in a use of funds as well. The amount that it
was increased by was $30,000.
c. Notes payable decreased which ended up becoming a use of funds
increasing by $44,000. The book states that "Notes
payable are short-term loans (less than a year). If you decrease notes payable
by paying back money you borrowed, this is a use of funds for you" (Dopson
151).
d. The
retained earnings, "Accumulated
account of profits over the life of the business that have not been distributed
as dividends" (Dopson 483), increased
which resulted in a sourceof funds. This was incrased by $104,000.
e. The total amount of sources and funds
ended up totaling to $743,000.
Dopson, Lea R. Managerial Accounting for the Hospitality Industry. Wiley, 09/2008. VitalSource Bookshelf Online.
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