Problem on merchandise to a customer
Selling $65 of merchandise to a customer for $100 in a state where the sales tax rate is 4%:
A. Increases cash flow from operating activities by $104.
B. Increases total assets by $39.
C. Increases equity by $35.
D. All of the above.
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Assuming Radio Shack's store count and fixed costs were the same in the 2nd quarter of 2011 and 2012, which of the following statements is the best explanation for the decrease in the firm's profitability?
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