Ethic Issue K.M wants to prepare cash flow statement for getting financial help in future from bank. He has worked in the organization for four years. From the last three years, his cash flow is negative, positive, and positive with respect to the 1 s t , 2 n d and 3 r d year. But in the fourth year, the inventory cost increased and cash flow from operations went down by 25%. He wants to determine whether the bank will help him in future. He wants to make some changes in the cash flow statement for the last four years. He knows that his cash flow from operations is better from the last four year. He wants a new project to work. He understands the business action so that he can turn the negative cash flow to the positive cash flow from operating activities. 1. To identify: Two major actions to improve the cash flow from operation.

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Answer 1

Question

Chapter 12, Problem 3AA

To determine

Ethic Issue

K.M wants to prepare cash flow statement for getting financial help in future from bank. He has worked in the organization for four years. From the last three years, his cash flow is negative, positive, and positive with respect to the 1^s^t, 2ⁿ^d and 3^r^d year. But in the fourth year, the inventory cost increased and cash flow from operations went down by 25%. He wants to determine whether the bank will help him in future. He wants to make some changes in the cash flow statement for the last four years. He knows that his cash flow from operations is better from the last four year. He wants a new project to work. He understands the business action so that he can turn the negative cash flow to the positive cash flow from operating activities.

1.

To identify: Two major actions to improve the cash flow from operation.

2.

To determine

To identify: Ethics and possible consequences of M’s decision to pursue these actions,

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Answer 2

Question

Chapter 12, Problem 3AA

To determine

Ethic Issue

K.M wants to prepare cash flow statement for getting financial help in future from bank. He has worked in the organization for four years. From the last three years, his cash flow is negative, positive, and positive with respect to the 1^s^t, 2ⁿ^d and 3^r^d year. But in the fourth year, the inventory cost increased and cash flow from operations went down by 25%. He wants to determine whether the bank will help him in future. He wants to make some changes in the cash flow statement for the last four years. He knows that his cash flow from operations is better from the last four year. He wants a new project to work. He understands the business action so that he can turn the negative cash flow to the positive cash flow from operating activities.

1.

To identify: Two major actions to improve the cash flow from operation.

2.

To determine

To identify: Ethics and possible consequences of M’s decision to pursue these actions,

Expert Solution & Answer

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Answer 3

Question

Chapter 12, Problem 3AA

To determine

Ethic Issue

K.M wants to prepare cash flow statement for getting financial help in future from bank. He has worked in the organization for four years. From the last three years, his cash flow is negative, positive, and positive with respect to the 1^s^t, 2ⁿ^d and 3^r^d year. But in the fourth year, the inventory cost increased and cash flow from operations went down by 25%. He wants to determine whether the bank will help him in future. He wants to make some changes in the cash flow statement for the last four years. He knows that his cash flow from operations is better from the last four year. He wants a new project to work. He understands the business action so that he can turn the negative cash flow to the positive cash flow from operating activities.

1.

To identify: Two major actions to improve the cash flow from operation.

2.

To determine

To identify: Ethics and possible consequences of M’s decision to pursue these actions,

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Answer 4

Question

Chapter 12, Problem 3AA

To determine

Ethic Issue

K.M wants to prepare cash flow statement for getting financial help in future from bank. He has worked in the organization for four years. From the last three years, his cash flow is negative, positive, and positive with respect to the 1^s^t, 2ⁿ^d and 3^r^d year. But in the fourth year, the inventory cost increased and cash flow from operations went down by 25%. He wants to determine whether the bank will help him in future. He wants to make some changes in the cash flow statement for the last four years. He knows that his cash flow from operations is better from the last four year. He wants a new project to work. He understands the business action so that he can turn the negative cash flow to the positive cash flow from operating activities.

1.

To identify: Two major actions to improve the cash flow from operation.

2.

To determine

To identify: Ethics and possible consequences of M’s decision to pursue these actions,

Expert Solution & Answer

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Answer 5

Chapter 12, Problem 3AA

To determine

Ethic Issue

K.M wants to prepare cash flow statement for getting financial help in future from bank. He has worked in the organization for four years. From the last three years, his cash flow is negative, positive, and positive with respect to the 1^s^t, 2ⁿ^d and 3^r^d year. But in the fourth year, the inventory cost increased and cash flow from operations went down by 25%. He wants to determine whether the bank will help him in future. He wants to make some changes in the cash flow statement for the last four years. He knows that his cash flow from operations is better from the last four year. He wants a new project to work. He understands the business action so that he can turn the negative cash flow to the positive cash flow from operating activities.

1.

To identify: Two major actions to improve the cash flow from operation.

2.

To determine

To identify: Ethics and possible consequences of M’s decision to pursue these actions,

Answer 6

Chapter 12, Problem 3AA

To determine

Ethic Issue

K.M wants to prepare cash flow statement for getting financial help in future from bank. He has worked in the organization for four years. From the last three years, his cash flow is negative, positive, and positive with respect to the 1^s^t, 2ⁿ^d and 3^r^d year. But in the fourth year, the inventory cost increased and cash flow from operations went down by 25%. He wants to determine whether the bank will help him in future. He wants to make some changes in the cash flow statement for the last four years. He knows that his cash flow from operations is better from the last four year. He wants a new project to work. He understands the business action so that he can turn the negative cash flow to the positive cash flow from operating activities.

1.

To identify: Two major actions to improve the cash flow from operation.

Answer 7

Chapter 12, Problem 3AA

To determine

Ethic Issue

K.M wants to prepare cash flow statement for getting financial help in future from bank. He has worked in the organization for four years. From the last three years, his cash flow is negative, positive, and positive with respect to the 1^s^t, 2ⁿ^d and 3^r^d year. But in the fourth year, the inventory cost increased and cash flow from operations went down by 25%. He wants to determine whether the bank will help him in future. He wants to make some changes in the cash flow statement for the last four years. He knows that his cash flow from operations is better from the last four year. He wants a new project to work. He understands the business action so that he can turn the negative cash flow to the positive cash flow from operating activities.

1.

To identify: Two major actions to improve the cash flow from operation.

Answer 8

2.

To determine

To identify: Ethics and possible consequences of M’s decision to pursue these actions,

Answer 9

2.

To determine

To identify: Ethics and possible consequences of M’s decision to pursue these actions,

Answer 10

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Answer 11

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Answer 12

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Answer 13

Ch. 12 - Prob. 1MCQ Ch. 12 - Prob. 2MCQ Ch. 12 - Prob. 3MCQ Ch. 12 - Prob. 4MCQ Ch. 12 - Prob. 5MCQ Ch. 12 - Prob. 1DQ Ch. 12 - Prob. 2DQ Ch. 12 - Prob. 3DQ Ch. 12 - Prob. 4DQ Ch. 12 - Prob. 5DQ

Solution Summary: The author explains that K.M wants to prepare cash flow statement for getting financial help in future from bank. He has worked in the organization for four years.

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To identify: Ethics and possible consequences of M’s decision to pursue these actions,

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