Answer:$936
Explanation:
Total earning= $ 23 per week
Taxes=22 percent of earning
Payable amount=78% of earning
amount paid= 78% of 1200
= 78 1200 = $ 936
100
The net income reported on the income statement for the current year was $73,600. Depreciation recorded on store equipment for the year amounted to $27,400. Balances of the current asset and current liability accounts at the beginning and end of the year are as follows: End of Year Beginning of YearCash $23,500 $18,700Accounts receivable (net) 56,000 48,000Merchandise inventory 35,500 40,000Prepaid expenses 4,750 7,000Accounts payable (merchandise creditors) 21,800 16,800Wages payable 4,900 5,800Required:A. Prepare the Cash Flows from Operating Activities section of the statement of cash flows, using the indirect method. Refer to the Amount Descriptions list provided for the exact wording of the answer choices for text entries. Use the minus sign to indicate cash outflows, cash payments, decreases in cash and for any adjustments, if required.B. Briefly explain why net cash flow from operating activities is different than net income.
Answer:
A. Cash Flows from Operating Activities
Adjusted cash flow $101,000
Working capital adjustments:
Accounts receivable (8,000)
Inventory 4,500
Prepaid expenses 2,250
Accounts payable 5,000
Wages payable (900)
Net cash from operations $103,850
B. The difference in the net cash flow from operating activities and the net income results from the basis of calculating each parameter. The net cash flow from operating activities is calculated based on the cash basis while the net income is calculated based on the accrual basis and the latter takes into account all income and expenses whether cash movement is involved or not.
Explanation:
a) Data and Calculations:
Net income = $73,600
Depreciation 27,400
Adjusted cash flow = $101,000
Working capital balances:
End of Year Beginning Increase/Decrease
of Year
Cash $23,500 $18,700 $4,800
Accounts receivable (net) 56,000 48,000 8,000
Merchandise inventory 35,500 40,000 $4,500
Prepaid expenses 4,750 7,000 2,250
Accounts payable
(merchandise creditors) 21,800 16,800 5,000
Wages payable 4,900 5,800 900
Cash Flows from Operating Activities
Adjusted cash flow $101,000
Working capital adjustments:
Accounts receivable (8,000)
Inventory 4,500
Prepaid expenses 2,250
Accounts payable 5,000
Wages payable (900)
Net cash from operations $103,850
20192018201720162015 Sales$656,856$432,142$358,624$243,135$180,100 Cost of goods sold 337,397 222,192 186,298 125,649 91,851 Accounts receivable 31,726 25,194 24,602 14,199 12,355 Compute trend percents for the above accounts, using 2015 as the base year.\
Answer:
Trend Percent for Net Sales :
2016 = 135.00 %
2017 =199.00%
2018 = 239.9 %
2019 = 364.7 %
Trend Percent for Cost of goods sold :
2016 = 136.7 %
2017 = 202.8 %
2018 = 241.9 %
2019 = 367.33 %
Trend Percent for Accounts receivable :
2016 = 114.9 %
2017 = 199.00 %
2018 = 203.9 %
2019 = 256.7 %
Explanation:
2019 2018 2017 2016 2015
Sales $656,856 $432,142 $358,624 $243,135 $180,100
Cost of goods sold 337,397 222,192 186,298 125,649 91,851 Accounts receivable 31,726 25,194 24,602 14,199 12,355
Trend Percent for Net Sales :
2016 Current Year Sales/ Base year Sales = $243,135 /$180,100
= 135.00 %
2017 Current Year Sales/ Base year Sales = $358,624 /$180,100 = 199.00%
2018 Current Year Sales/ Base year Sales =$432,142 / $180,100
= 239.9 %
2019 Current Year Sales/ Base year Sales = $656,856 /$180,100
= 364.7 %
Trend Percent for Cost of goods sold :
2016 Current Year CGS/ Base year CGS = $125,649 /91,851 = 136.7 %
2017 Current Year CGS/ Base year CGS = $ 186,298 /91,851 = 202.8 %
2018 Current Year CGS/ Base year CGS =$ 222,192/ 91,851 = 241.9 %
2019 Current Year CGS/ Base year CGS= $337,397 /91,851 = 367.33 %
Trend Percent for Accounts receivable :
2016 Current Year A/R/ Base year A/R = $14,199 /12,355 = 114.9 %
2017 Current Year A/R/ Base year A/R= $ 24,602 /12,355= 199.00 %
2018 Current Year A/R/ Base year A/R=$ 25,194 / 12,355 = 203.9 %
2019 Current Year A/R/ Base year A/R = $31,726 /12,355 = 256.7 %
Melinda signs a three year contract for employment as a legal studies lecturer. Does this type of contract fall within the scope of the statute of frauds
Answer: Yes, because it is a contract whose terms prevent possible performance within one year
Explanation:
The Statute of Fraud mandates that certain contracts need to be written down. These contracts include the sale of land, amounts involving more than $500 and contracts that have a timeframe of over a year.
Melinda entered into a contract with terms that have to be fulfilled in more than a year. It is therefore under the Statute of Frauds.
Bateman Corporation sold an office building that it used in its business for $800,750. Bateman bought the building 10 years ago for $599,625 and has claimed $201,125 of depreciation expense. What is the amount and character of Bateman's gain or loss
Answer:
Bateman Corporation
a. The amount of the gain = $402,250.
b. The character of the gain is long-term capital gain.
Explanation:
a) Data and Calculations:
Sale proceeds from office building = $800,750
Purchase cost of building = $599,625
Period of building before sale = 10 years
Depreciation claimed on building = $201,125
Net book value of building = $398,500 ($599,625 - $201,125)
Capital gain on sale of building = $402,250 ($800,750 - $398,500)
b) Bateman Corporation will record a capital gain of $402,250. This is the difference between the sale proceeds from the building and the net book value of the building after deducting the depreciation expenses claimed on the building. It is a long-term capital gain, which is taxed under the reduced rate.
High Sky Inn is a bed and breakfast establishment in a converted 100-year-old mansion. The Inn's guests appreciate its gourmet breakfasts and individually decorated rooms. The Inn's overhead budget for the most recent month appears below:
Activity level 90 guests
Variable overhead costs:
Supplies $234
Laundry 315
Fixed overhead costs:
Utilities 220
Salaries and wages 4,290
Depreciation 2,680
Total overhead cost $7,739
The Inn's variable overhead costs are driven by the number of guests. What would be the total budgeted overhead cost for a month if the activity level is 99 guests?
a. $61,541.00
b. $7,793.90
c. $8,512.90
d. $7,739.00
Answer:
b. $7,793.90
Explanation:
Calculation for What would be the total budgeted overhead cost for a month if the activity level is 99 guests
TOTAL BUDGETED OVERHEAD COST
Overhead costs:
Variable overhead costs:
Supplies $ 257.40
[ ($234 ÷ 90 guests)*99 guests].
Laundry $346.50
[($315 ÷ 90 guests)*99 guests]
Total variable overhead cost 603.90
($ 257.40+$346.50)
Fixed overhead costs:
Utilities 220.00
Salaries and wages 4,290.00
Depreciation 2,680.00
Total fixed overhead cost 7,190.00
(220.00+4,290.00+2,680.00)
Total budgeted overhead cost$7,793.90
(7,190.00+603.90)
Therefore What would be the total budgeted overhead cost for a month if the activity level is 99 guests will be $7,793.90
Last month, the budgeted level of activity was 1,090 cars washed and the actual level of activity was 1,080 cars washed. The cost formula for the washing expenses is $3.30 per car washed plus $18,500 per month.
Fixed cost per month Cost per car washed
Cleaning supplies $0.70
Electricity $1,300 $0.08
Maintenance $0.15
wages and salaries $4,900 $0.20
Depreciation $8,400
Rent $1,900
Administrative expenses $1,600 $0.05
For example. electricity costs are $1,300 per month plus $0.08 per car washed. The company expects to wash 8,000 cars in August and to collect an average Of $6.60 per car washed.
The actual operating results for August appear below.
Lavage Rapide Income Statement For the Month Ended August 31
Actual car washed 8100
Revenue 54,900
Expenses:
Cleaning supplies 6,100
Electricity 1910
Maintenance 1,440
Wages and salaries 6860
Depreciation 8,400
Rent 2100
Administrative expenses 1,900
Total expense 28170
Net operating income 26,190
Required:
Prepare a flexible budget performance report that shows the company's revenue and spending variances and activity variances for August.
Answer:
Flexible Budget Performance Report for August:
Flexible Actual Variances
Budget Budget Spending Activity Total
Activity levels 8,100 8,100
Revenue $53,460 $54,900 $1,440
Cleaning supplies $5,670 $6,100 (430)
Electricity $1,948 1,910 38
Maintenance $1,215 1,440 (225)
Wages and salaries $6,520 6,860 (340)
Administrative expenses $2,005 1,900 105
Depreciation $8,400 8,400 0
Rent $1,900 2,100 ($200)
Total expenses $27,658 $28,170 ($200) ($852) (1,052)
Net operating income $25,802 $26,190 $388
Explanation:
a) Data and Calculations:
Fixed cost Cost per
per month car washed
Cleaning supplies $0.70
Electricity $1,300 $0.08
Maintenance $0.15
Wages and salaries $4,900 $0.20
Depreciation $8,400
Rent $1,900
Administrative expenses $1,600 $0.05
Total costs $18,100 $1.18
Flexible costs:
Cleaning supplies $0.70 * 8,100 = $5,670
Electricity $1,300 $0.08 * 8,100 = $1,948
Maintenance $0.15 * 8,100 = $1,215
Wages and salaries $4,900 $0.20 * 8,100 = $6,520
Administrative expenses $1,600 $0.05 * 8,100 = $2,005
Barbara is a single taxpayer who had a 2020 adjusted gross income of $25,000 and contributed $4,000 to her traditional IRA. Assuming she has a $2,000 income tax liability for the year, what is her maximum retirement contribution savings credit
Answer:
$200
Explanation:
The retirement contribution savings credit is designed to benefit low and middle income tax payers that contribute to retirement accounts.
The maximum credit ranges from $200 to $1,000 per taxpayer.
Since Barbara earned below $32,500, she applies for this tax credit.
Since her AGI is over $21,251, she can only deduct 10% of the first $2,000 contributed to her IRA account = $2,000 x 10% = $200
A real estate agent would like to predict the selling price of a single-family house by predicting the price (in thousands of dollars) based on the square footage (in 100 square feet). Predict the price of a 3000 square foot house (in thousands of dollars).
Answer: 134.7088 (thousands of dollars)
Explanation:
This can be solved with a regression equation based on the details in the question.
y being the price of the house.
x as the independent variable is given as 3.8785
c as the intercept is given as 18.3538
The equation s;
y = 3.8785x + 18.3538
x will be 30 because the variables are based on 100 square feet so, 3,000/100 = 30
y = 3.8785 *(30) + 18.3538
= $134.7088 (thousands of dollars)
= $134,708.80
Doug's Boat Shop, Inc. reports operating income of $260,000 and interest expense of $31,200. The average common stockholders' equity during the year was $50,000. The beginning assets balance is $115,000 and ending assets balance is $180,000. What is the leverage ratio
Answer:
2.95
Explanation:
Given that;
Beginning assets = $115,000
Ending assets = $180,000
Operating income = $260,000
Interest expense = $31,200
Average common stockholder equity = $50,000
Average total assets ;
= (Beginning assets + Ending assets) ÷ 2
= ($115,000 + $180,000) ÷ 2
= $147,500
Therefore,
Leverage ratio = Average total assets ÷ Average common stockholder equity
Leverage ratio = $147,500 ÷ $50,000
Leverage ratio = 2.95
A-One Auto Sales, Inc., employs Best Collection Company as a collection agent. While repossessing goods from Carl, one of A-One's customers, Best causes an accident in which Carl is injured. Carl can recover from
Answer: c. A-One or Best.
Explanation:
Best Collection Company are the ones who cause the accident and so they can be held liable and have to compensate Carl for injuries and harm caused.
Best however, was acting as an agent on behalf of A-One Auto Sales so A-One can be held liable as well for the incident. Carl can therefore also be compensated by A-One as well.
Carl cannot be compensated by both for the same incident as this amounts to double compensation but can be compensated by either one of them.
Under the modern traditional theory, the sovereign may nationalize foreign-owned property only where: a. it is for a public purpose. b. the foreign firm that owned the property was operating it unprofitably. c. a communist government takes over the country. d. the foreign firm has continuously violated the laws of the host country.
Answer: a. it is for a public purpose.
Explanation:
According to the Modern Traditional theory on compensation which deals with the seizure of foreign-owned property by the government of the nation in which the property is located, the sovereign authorities may nationalize foreign-owned property if it is deemed to be for public use.
If the government has shown that nationalization is for the good of the nation, the theory espouses that it is allowed. They would however have to provide adequate compensation to those whom the property was seized from.
Sabv Corporation's break-even-point in sales is $840,000, and its variable expenses are 75% of sales. If the company lost $34,000 last year, sales must have amounted to:
Answer:sales must have amounted to:$704,000
Explanation:
Contribution ratio = Sales ratio - Variable cost ratio
= 100%- 75%
=25%
Sales to break even = Fixed expenses / Contribution margin ratio
Therefore,
Fixed expenses = Sales to break even x Contribution margin ratio
=$840,000 x 25%
=$210,000
Contribution margin can also be calculated as
Fixed expenses- Operating loss
=$210,000 -$34,000
=$176,000
Sales = Contribution margin/ Contribution ratio
= $176,000/25% =$704,000
The constraint at Rauchwerger Corporation is time on a particular machine. The company makes three products that use this machine. Date concerning those products appear below.
WX KD FS
Selling price per unit $335.20 $228.48 $199.23
Variable cost per unit $259.22 $173.04 $159.57
Minutes on the constraint 7.70 4.50 5.70
Assume that sufficient time is available on the constrained machine to satisfy demand for all but the least profitable product. Up to how much should the company be willing to pay to acquire more of the constrained resource? Round intermediate calculations to 2 decimal places.
a. $75.98 per minute
b. $6.96 per minute
c. $39.66 per minute
d. $12.32 per minute
Answer:
the least profitable is $39.66 per unit or 9.72 per minute
Explanation:
The computation is shown below:
The Price Per Unit for WX is
= $355.20 - $259.22
= $95.98
Price Per Unit for KD is
= $228.48 - $173.04
= $55.44
And, the Price Per Unit for FS is
= $199.23 - $159.57
= $39.66
Now
Price per Minute for WX is
= $95.98 ÷ 7.70
= 12.46
Price Per Minute for KD is
= $55.44 ÷ 4.50
= 12.32
And, Price Per Minute for FS is
= $55.44 ÷ 5.70
= 9.72
So here the least profitable is $39.66 per unit or 9.72 per minute
This is the answer but the same is not provided
A firm that has recently experienced an enormous growth rate is seeking to lease a small plant in Memphis, TN; Biloxi, MS; or Birmingham, AL. Prepare an economic analysis of the three locations given the following information:
Memphis Beloxi Birmingham
Annual costs for building, equipment, and administration $40,000 $60,000 $100,000
Labor and materials are expected to be (per unit) $8 $4 $5
Increase system transportation costs (per year), Expected annual volume is 10,000 units. $50,000 $60,000 $25,000
Answer and Explanation:
The computation of the total cost under each locations is as follows:
The total cost of Memhpis is
= $40,000 + (10,000 units × $8) + $50,000
= $40,000 + $80,000 + $50,000
= $170,000
The total cost of Biloxi is
= $60,000 + (10,000 units × $4) + $60,000
= $60,000 + $40,000 + $60,000
= $160,000
And, the total cost of Birmingham is
= $100,000 + (10,000 units × $5) + $25,000
= $100,000 + $50,000 + $25,000
= $175,000
In most business environments, who is responsible for coordinating, controlling, and managing the database
Answer:
The database administrator
Explanation:
DATABASE ADMINISTRATOR is a person who sole responsibility is to help manage, control and coordinate everything that has to do with a business, company or an organization database by backing up data and ensuring that all the data are often made available when needed which is why in most business environments DATABASE ADMINISTRATOR are mostly an important role because they help to plan, manage , Create backup as well as monitor and optimized the database’s performance.
Therefore in most business environments the person who is responsible for coordinating, controlling, and managing the database is called
DATABASE ADMINISTRATOR
Imagine that in the frame of Azerbaijan National Football Championship Nefthci and Karabakh football teams will have a match in “Shafa Stadium” 31st December 2021. Assume that the stadium has 10,000 seats available and number of seats is fixed. To increase the tax revenue, government authorities impose tax on buyers (fans) at the amount of $2 per seat. Please, explain who will pay the tax by graphic illustration and logical justification. Keep in mind that the stadium is a private property.
Answer:
The fans as they purchase tickets
Explanation:
The government has imposed a $2 tax per seat. The stadium management will increase the price of tickets per seat by at least $2. It means the customers (fans) will pay an extra amount per seat to cater for the taxes.
The stadium management will act as a tax intermediary. They will collect the $2 per seat tax from the ticket sales and remit it to the government.
Suppose the economy starts off producing Natural Real GDP. Next, aggregate supply rises, ceteris paribus. As a result, the price level falls in the short run. In the long run, when the economy has moved back to producing Natural Real GDP, the price level will be Question 4 options:
Answer:
The price level will be equal to what it was before there was a rise in the aggregate supply.
Explanation:
In economics, natural gross domestic product (Natural Real GDP) can be described as the maximum level of real GDP that can be sustained by an economy over the long term. The Natural Real GDP is also known as the potential output.
From the question, since the economy has moved back to producing Natural Real GDP which is the maximum real GDP sustainable, the price level will be equal to what it was before there was a rise in the aggregate supply.
Therefore, the price level will be equal to what it was before there was a rise in the aggregate supply.
You receive results from the team engagement survey. According to the survey, your team members feel that the feedback they provide to management is not being taken into consideration quickly enough. Assuming all options are possible, what would you be most and least likely to do?
Answer: Most: Discuss the issue with your team. Ask team members for suggestions on how to better incorporate their
Least: Talk to your peers who received similar feedback and brainstorm together on how to better engage the team.
Explanation:
You probably wish you could get more input from your employees if you're like most managers. Quality feedback will help all of you work together, improve your style of leadership, and make sure you catch problems before they become big issues.
While the members of your team must be the ones to come up with the ideas, there are many things you can do to make it better and more productive to produce them.
Your methodology offers an example.
Abbott Landscaping purchased a tractor at a cost of $29,000 and sold it three years later for $15,700. Abbott recorded depreciation using the straight-line method, a five-year service life, and a $4,000 residual value. Tractors are included in the Equipment account.
Required:
Record the sale of equipment.
Answer:
Cash 15700 Dr
Accumulated depreciation 15000 Dr
Equipment - Tractor 29000 Cr
Gain on sale - Equipment 1700 Cr
Explanation:
The straight line method of depreciation charges a constant depreciation expense per year throughout the useful life of the asset. The formula for depreciation expense under this method is,
Depreciation expense = (Cost - Residual value) / Estimated useful life of the asset
Depreciation expense per year = (29000 - 4000) / 5 = $5000 per year
As the asset was sold after three years, the accumulated depreciation on the asset would be = 5000 * 3 = $15000
The NBV or carrying value of the asset will be = 29000 - 15000 = 14000
The gain on sale of equipment will be = 15700 - 14000 = $1700
Manufacturing overhead was estimated to be $400,000 for the year along with 20,000 direct labor hours. Actual manufacturing overhead was $415,000, actual labor hours were 21,000. The predetermined manufacturing overhead rate per direct labor hour would be:
Answer:
The predetermined manufacturing overhead rate per direct labor hour is $20
Explanation:
The computation of the predetermined manufacturing overhead rate per direct labor hour is shown below:
= Estimated manufacturing overhead ÷ direct labors hours
= $400,000 ÷ 20,000 direct labor hours
= $20
hence, the predetermined manufacturing overhead rate per direct labor hour is $20
We simply applied the above formula so that the correct value could come
And, the same is to be considered
A young college student was making a purchase at her local department store. The clerk suggested that she would get an additional 15% off the purchase price if she would sign up for a store credit card. Which of the following statements discusses how a personal finance expert might view this incentive?
a. Reports indicate that students are particularly vulnerable to these tactics. If you fail to pay off the balance, you end up paying much more than the original purchase price for your items.
b. An expert would advise you that the more credit cards you hold, the better your credit rating will be with the three major credit rating companies. Actuaries average the opinions of each credit card company to determine your score.
c. A personal finance expert would encourage her to take the incentive, particularly if interest rates on the card remain below 20%.
d. A personal finance expert would advise a college student to always take this incentive seriously because it is like trade credit for businesses
Answer: a. Reports indicate that students are particularly vulnerable to these tactics. If you fail to pay off the balance, you end up paying much more than the original purchase price for your items.
Explanation:
Even though financial advice is usually tailormade for the individual, a financial expert would most likely give this advice to a student because students are indeed vulnerable to such tactics.
They would be more prone to spend more in the store as a result of the credit card and this will lead to them being unable to pay off balances which will then lead to them paying much more than the original price they would have paid.
Which is NOT an example of an expense a) advertising b)insurance c)dividends d)depreciation
Answer:
c. dividends
Explanation:
not payable... so
Dividends are not an example of an expense.
What are dividends?
A dividend or dividends can be define as a distribution of profits by a corporation to its shareholders. When a corporation earns a profit or surplus, it is able to pay a portion of the profit as a dividend to shareholders. Any amount not distributed is taken to be re-invested in the business which is called retained earnings.
The current year profit as well as the retained earnings of previous years are available for distribution and a corporation is usually prohibited from paying a dividend out of its capital. Distribution to shareholders may be in cash which is usually a deposit into a bank account or, if the corporation has a dividend reinvestment plan, the amount can be paid by the issue of further shares or by share repurchase. In some cases, the distribution may be of assets.
The dividend received by a shareholder is income of the shareholder and may be subject to income tax. The tax treatment of this income varies considerably between jurisdictions.
The corporation does not receive a tax deduction for the dividends it pays.
Learn more about dividends, here:
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Suppose Alex and Becky are playing a game in which both must simultaneously choose the action Left or Right. The payoff matrix that follows shows the payoff each person will earn as a function of both of their choices. For example, the lower-right cell shows that if Alex chooses Right and Becky chooses Right, Alex will receive a payoff of 5 and Becky will receive a payoff of 5.
Becky
Left Right
Alex Left 6, 6 6, 3
Right 4, 3 5, 5
The only dominant strategy in this game is for___ to choose_____ .
The outcome reflecting the unique Nash equilibrium in this game is as follows:
Alex chooses______ and Becky chooses_______ .
Answer:
The only dominant strategy in this game is for__Alex_ to choose__Right___ .
The outcome reflecting the unique Nash equilibrium in this game is as follows:
Alex chooses__Right____ and Becky chooses__Left_____ .
Explanation:
The game theory of the Nash equilibrium achieves the optimal outcome of a game because Alex and Becky are not incentivized to deviate from their chosen strategies after considering the opponent's choice. Neither of these two players can increase their payoff by choosing an action different from their current strategic action. Thus, this action profile achieves a Nash equilibrium for the two players because there exists randomization in the game.
Premium priced products like those offered by Louis Vuitton are not likely to be distributed _______.
Answer:
b. intensively
Explanation:
Louis Vuitton products mostly deal with the suitcases, shoes, watches, jewelleries, sunglasses, etc. Their products would be sold via departments i.e. rental, online websites, stores, etc
So as per the given situation, their premium and pricing products could not be allocated intensively as for many people it cant be afforded due to the high prices.
So the correct option is b.
Gaston owns equipment that cost $17,000 with accumulated depreciation of $6,800. Gaston asks $14,200 for the equipment but sells the equipment for $9,200. Which of the following would not be part of the journal entry to record the disposal of the equipment?
a. Debit Accumulated Depreciation $61,000.
b. Credit Equipment $90,500. Debit Loss on Disposal of Equipment $3,500.
c. Credit Gain on Disposal of Equipment $3,500.
d. Debit Cash $6,000.
Answer:
Credit Gain on Disposal of Equipment $1,000.
Explanation:
Based on the information given the entry that will NOT be part of the Journal entry to record the disposal of the equipment is Credit Gain on Disposal of Equipment $1,000 reason been that the company had a LOSS on Disposal of Equipment of the amount of $1,000($9,200+$6,800)-$17,000) which will be debited.
Dr Cash $9,200
Dr Accumulated Depreciation $6,800
Dr Loss on Disposal of Equipment $1,000
[($9,200+$6,800)-$17,000)
Cr Equipment $17,000
The Treasury bill rate is 3.5%, and the expected return on the market portfolio is 10.4%. Use the capital asset pricing model. a. What is the risk premium on the market?
Answer:
6.9%
Explanation:
Treasury bill rate is 3.5%
Market portfolio is 10.4%
Therefore the risk premium on the market can be calculated as follows
= 10.4%-3.5%
= 6.9%
Hence the risk premium is 6.9%
During the year, Eastern Gas Pipeline Co. issued 5,000 shares of preferred stock for $25 per share. This transaction is classified as .
Answer: B. Financing cash flow
Explanation:
Financing cashflow activities are those that have to do with the capital raised for the operations of the business. Every cash transaction related to capital falls under Financing activities.
This includes transactions such as issuing shares such as the preferred shares in the question and debt instruments such as bonds. Dividends and treasury purchases also fall under here.
Randall invested 200,000 in activity A and 100,000 in activity B (both passive) in 1998 at the beginning of 2011 randall’s at-risk amount was 20,000 in A and 15,000 in B activity a had a loss of 25,000 and activity B had income of 30,000 what is the amount of income or loss recognized in 2011 from these activities?
a- 0
b- 5,000 income
c- 10,000 income
d- 25,000 losses
Answer:
c- 10,000 income
Explanation:
The computation of the mount of income or loss recognized in 2011 from these activities is shown below
As in the question it is mentioned that the activity A has $20,000 risk so $20,000 would be allowed. And, there is a passive income of $30,000
So the amount of the income recognzied would be
= $30,000 - $20,000
= $10,000 income
Therefore the correct option is c.
Collin and Scott are co-founders of the Russian River Brewing Company. Which three tools and methods are the co-founders not likely to adopt to promote the brewery's operational excellence and further the cause of good strategy execution
Answer:
strategic resource training, standard industry techniques, and competitor strength matrix techniques
Explanation:
The three tools and techniques that co-founders not likely to adopt for promoting the operational excellence is training of strategic resource, techniques of standard industry and the third one is techniques of competitor strength max
As these three tools and methods would not help the company for promoting the same
Therefore the first option is correct
Doc Xpress has an in-house staff of 35 employees who provide transcriptions of phone and video conferences for a range of clients. When the economy was tight, the CEO of Doc Xpress froze all hardware and software upgrades for five years. In terms of a situation analysis, this decision was likely based on a
Answer:
external threat
Explanation:
This decision was likely based on an external threat. Which in this scenario is the economy. Economy is considered as an external threat because it is not in the control of the company itself but still directly affects the everyday business operations of the company as well as it's profit and costs. All of this equates to how well the company performs, therefore in a situation where the economy poses a threat decisions need to be made such as the one in this scenario.