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Accounts Payable days, or the average time a company takes to pay its suppliers, directly impacts cash flow timing. A longer accounts payable period allows a company to retain cash longer, improving liquidity and providing more flexibility for funding operations or investments. However, excessively extending these days may strain supplier relationships or lead to missed discounts. Conversely, shorter payable days can strain cash flow but may enhance supplier relationships and improve credit terms.

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What effect does the taxes payable account have on cash flow from operating activities for 2009?

The taxes payable account affects cash flow from operating activities by reflecting the timing of tax payments. An increase in the taxes payable account indicates that a company has accrued tax liabilities without yet making cash payments, which effectively boosts cash flow from operating activities in the short term. Conversely, a decrease in the taxes payable account suggests that the company has paid down its tax liabilities, resulting in a reduction of cash flow from operating activities. Therefore, changes in this account can significantly influence the reported cash flow for the year.


What is account discrepancies?

Account discrepancies refer to differences or inconsistencies found between financial records, such as bank statements, accounting ledgers, or transaction histories. These discrepancies can arise from errors in data entry, timing differences in transactions, or fraudulent activities. Identifying and resolving such discrepancies is crucial for maintaining accurate financial records and ensuring the integrity of financial reporting. Regular reconciliation processes help detect and correct these issues promptly.


Why the balance in account receivable control account may not agree with the total in the account receivable ledger?

The balance in the accounts receivable control account may not agree with the total in the accounts receivable ledger due to timing differences, such as transactions recorded in one but not the other. Errors in data entry, such as incorrect postings or omissions, can also lead to discrepancies. Additionally, adjustments or write-offs that haven't been reflected in both accounts may cause imbalances. Regular reconciliation is essential to identify and correct these discrepancies.


What is the most difficult step in reconciling a checking account?

The most difficult step in reconciling a checking account often involves identifying discrepancies between the bank statement and personal records. This can occur due to timing differences, such as outstanding checks or deposits in transit, as well as errors in recording transactions. Careful attention to detail is required to trace these discrepancies accurately, which can be time-consuming and frustrating. Additionally, missing or incorrectly recorded transactions can complicate the reconciliation process further.


What is a bank reconciliation statement?

A bank reconciliation statement is a form that allows individuals to compare their personal bank account records with the bank's records of the individual's account balance in order to uncover any possible discrepancies. Since there are timing discrepancies between when data is entered in the bank's systems and when data is entered in the individual's system, there is sometimes a normal discrepancy between account balances. The goal of reconciliation is to determine whether the discrepancy is due to an error rather than timing.

Related Questions

What effect does the taxes payable account have on cash flow from operating activities for 2009?

The taxes payable account affects cash flow from operating activities by reflecting the timing of tax payments. An increase in the taxes payable account indicates that a company has accrued tax liabilities without yet making cash payments, which effectively boosts cash flow from operating activities in the short term. Conversely, a decrease in the taxes payable account suggests that the company has paid down its tax liabilities, resulting in a reduction of cash flow from operating activities. Therefore, changes in this account can significantly influence the reported cash flow for the year.


A cash management tool used to plan the timing and amount of cash disbursements?

Accounts Payable Report


Can low compression affect timing?

No. Low compression does not effect timing but timing can affect compression.


What are the effect on valve timing if the timing belt has become stretched?

if the timing belt becomes streched, it changes the relationship between the camshaft and crankshaft. Which will in turn effect the valve timing and engine performance. That is why many engines use automatic tensioners to prevent this from happening


Does the timing belt effects the way your car shifts gears?

The timing belt effects your camshaft timing, and in some engines your ignition timing (if the distributor or crank trigger runs off a pulley driven by your timing belt). Directly, your timing belt has no effect on your shifting. However, variances in camshaft timing will make your engine run differently and that MAY effect at what point the transmission shifts.


Do belts on pt cruiser effect timing?

yes


Can a bad exhaust or not warming up your car throw your timing belt off?

NO! This has no effect on the timing belt.


Can Hieratic Dragon of Tefnuit effect miss the timing when tributed for the Ritual Summon of Gustkrake?

No, it is a mandatory trigger and cannot miss the timing.


Does Fragrance Storm cause Necro Fleur to miss the timing in Yu-Gi-Oh?

No, Necro Fleur's 'If...you can' effect is not one that can miss the timing.


Does Sacred Sword of Seven Stars cause Tempest Dragon Ruler of Storms to miss the timing in Yu-Gi-Oh?

Tempest Dragon Ruler of Storm's effect banish effect is not one that can miss the timing, as per the ruling;"An important thing to note: cards which state "If … you can" cannot miss the timing. Only those which state "When … you can" can miss the timing"


What happens when timing belt ready to snap?

i had a 106 and the timing belt came loose , it came off and wrecked the timing of the engine causing it to destroy its self . i presume it will be the same effect if it did snap .


If my home lighting is on timers, and the power goes off, how will it effect the timing cycle?

It will resume the timing cycle on time as long as the power comes back on.