Question

Acadia, Inc. recorded restructuring charges of $235,542 thousand during fiscal 2017 related entirely to anticipated employee separation payments. Acadia, Inc. had never before incurred restructuring charges. At the end of the year, the company’s balance sheet included a restructuring accrual of $29,643 thousand. The cash flow effect of Acadia’s restructuring during fiscal 2017 was: Group of answer choices A. $205,899 thousand

B. $235,542 thousand

C. $265,185 thousand

D. $ 29,643 thousand

E. None of the above

Answer 1

A. $205,899 thousand

Step-by-step explanation:

cash flow effect = restructuring charges - the company’s balance sheet included a restructuring accrual

= $235,542 thousand - $29,643 thousand

= $205,899 thousand

Therefore, The cash flow effect of Acadia’s restructuring during fiscal 2017 was $205,899 thousand.