A 12-year capital lease specifies equal minimum annual lease payments. Part of this payment represents interest and part represents a reduction in the net lease liability. The portion of the minimum lease payment in Year 10 applicable to the reduction of the net lease liability should be:

Answers

Answer 1

Answer:

More than in year 8

Explanation:

A capital lease is a type of lease in which the lesser financed only the asset and all other ownership rights would be transferred to the lessee

In the given situation, the 12-year capital lease is equivalent to the annual lease payment at minimum cost

This payment involves the interest and the reduction amount

Now in the year 10 the reduction made to the lease liability should be more than in the year 8


Related Questions

L Corporation produces and sells 15,100 units of Product X each month. The selling price of Product X is $21 per unit, and variable expenses are $15 per unit. A study has been made concerning whether Product X should be discontinued. The study shows that $72,000 of the $101,000 in monthly fixed expenses charged to Product X would not be avoidable even if the product was discontinued. If Product X is discontinued, the annual financial advantage (disadvantage) for the company of eliminating this product should be: Multiple Choice $10,400 ($61,600) ($39,400) $39,400

Answers

Answer:

If Product X is discontinued, the company’s overall net operating income would: increase by $61,600

Explanation:

                                          Not drop        Drop       Difference

Sales                                   317,100                           317,100

(15100*21)

Less: Variable expenses   226,500                         226,500

(15,100 * 15)

Contribution margin            90,600                          90,600

Less: fixed expenses          101,000       72,000      29,000

Net operating income      -$10,400                         $61600

Conclusion: If Product X is discontinued, the company’s overall net operating income would: increase by $61,600

You have just joined the project management office after five years of working on projects. One of the things you want to introduce to your company is the need to create and utilize WBSs. Some of the project managers are angry that you are asking them to do "extra work". Which of the following would be the BEST thing you could tell the project managers to convince them to use WBSs?a. Tell them that it is not needed b. Tell them it is required only if the project involves contracts. c. Tell them it is the only way to identify risks. d. Tell them it will prevent work from slipping through the cracks

Answers

Answer:  d. Tell them it will prevent work from slipping through the cracks

Explanation:

Work Breakdown Structures work to make a large and by extension all projects more manageable by dividing it into different portions that will then be managed individually to ensure that they are accomplished.

With different portions, various team members can be assigned to them which will lead to greater work efficiency as work is done simultaneously on a project.

Due to this division of the project and the micro-management that comes with it, tasks can be better monitored meaning that there will be less chances of work slipping through the cracks because all tasks will be assigned to different portions of the project and can therefore be traced easily and their completion will form part of the completion of a portion.  

Millie withdraws $1,000 from her checking account so she can have $1,000 in cash. If no other changes occur, M1 will

Answers

Answer:

M1 will not change

Explanation:

M1 is the money supply that is composed of physical currency , coin, demand deposits, travellers' checks, checking accounts, and negotiable order of withdrawal (NOW) accounts. M1 includes the most liquid of money supply.

Because checking account and cash are both components of M1, there would be no change in M1

Choose the best scenario for refinancing.

a. You have a current mortgage at 5% and have been approved for a new mortgage at 3.75%. You’ll break even on the closing costs in two years, and you don’t plan to move for at least five.
b. You intend to move in about nine months, but you have been approved for a mortgage with an interest rate two whole points lower than your current rate.

Answers

Answer:

Correct Answer: The best scenario for refinancing is:

a. You have a current mortgage at 5% and have been approved for a new mortgage at 3.75%. You’ll break even on the closing costs in two years, and you don’t plan to move for at least five.

Explanation:

This is because, being aware that you will break even on the closing cost in 2 years which is quite better when compared to no of years to stay (atleast five years) gives the person a competitive advantage.

IBM just paid a dividend of and expects these dividends to grow at ​% a year. The price of IBM is per share. What is​ IBM's cost of equity​ capital?

Answers

Question

The question is incomplete. The complete version is given below:

IBM just paid a dividend of $3.5 and expects these dividends to grow at 7% a year. The price of IBM is $100 per share. What is? IBM's cost of equity? capital?

Answer:

Cost of equity = 10.7%

Explanation:

Cost of equity can be ascertained using the dividend valuation model. The dividend valuation model states that the price of a stock is the present value of future dividends discounted at the required rate of return.  The required rate of return is the cost of equity.

The cost is the minimum rate of return that ordinary shareholders are willing to accept considering the opportunity cost of their capital

Cost of equity (Ke) =( Do( 1+g)/P ) + g

DATA

Ke- ?

D0- 3.5

P-100

g-7%

Ke= 3.5×(1.07)/100  + 0.07 = 0.10745

Ke- 0.10745 × 100 = 10.7%

Cost of equity = 10.7%

Blaster, Inc., manufactures portable radios. Each radio requires 3 units of Part XBEZ52, which has a standard cost of $1.75 per unit. During May, the company purchased 24,120 units of the part for a total of $43,416. Also during May, the company manufactured 6,240 radios, using 20,620 units of part XBEZ52. The direct materials purchases variance is computed when the materials are purchased. During May, the materials price variance for part XBEZ52 was:

Answers

Answer:

$1,206 unfavorable

Explanation:

materials price variance = (AP – SP) x AQ

SP = $1.75

AQ = 24,120 units (units purchased)

AP = $43,416 / 24,120 = $1.80

materials price variance = ($1.80 - $1.75) x 24,120 = $1,206 unfavorable

Since the price paid for each part is higher than the standard price, the variance is unfavorable.  

By 2002, Fisher's strategic initiatives in China had yielded significant results. They had 63% of the retail film market and 7,000 stores.
A. Exporting
B. Contractual agreements
C. Strategic alliances/joint ventures
D. Direct investment

Answers

Answer: Strategic alliances/joint ventures

Explanation:

From the question, we are informed that by 2002, Fisher's strategic initiatives in China had yielded significant results and that they had 63% of the retail film market and 7,000 stores.

The method used for their success was the strategic alliances or joint venture whereby two or more business or individuals come together and utilize the resources available to carry out a particular objective.

Cash $38,600 Short-term investments 9,000 Accounts receivable 40,000 Inventory 240,000 Prepaid expenses 17,400 Accounts payable 87,200 Other current payables 22,300 Multiple Choice 0.96 and 3.96. 2.99 and 1.25. 3.15 and 0.80. 3.15 and 0.32.

Answers

Answer:

Current ratio and Acid-test ratio (3.15 and 0.80)

Explanation:

Note: The missing part of the question is "Using the following year-end information for Bauman, LLC, calculate the current ratio and acid-test ratio:"

i. Current ratio = Current assets/Current liabilities

Current assets = 38,600 + 9,000 + 40,000 + 240,000 + 17,400

Current assets = $345,000

Current liabilities= 87,200 + 22,300

Current liabilities = $109,500

Current ratio = $345,000 / $109,500

Current ratio = 3.15

ii. Acid-test ratio = {Current assets - (Inventory + Prepaid expenses)}/Current liabilities

Acid-test ratio = 345,000- (240,000  + 17,400 ) / 109,500

Acid-test ratio = 87,600 / 109,500

Acid-test ratio = 0.80

A firm has a debt-to-equity ratio of .5 and a market-to-book ratio of 2. What is the ratio of the book value of debt to the market value of equity

Answers

Answer: 0.25

Explanation:

The The debt-to-equity ratio is calculated when the total liabilities of w company is divided a by the shareholder equity while the book-to-market ratio is used to know a company's value by comparing the book value of the company to its market value.

Since the firm has a debt-to-equity ratio of .5 and a market-to-book ratio of 2. The ratio of the book value of debt to the market value of equity will be:

= 0.5/2

= 0.25

JWU Company has been growing at a rate of 5% for the past two years and is expected to continue for several years. The company paid a Dividend of $2.00 last year. If your required rate of return is 13%, what is the current value of this company’s stock?
A. $26.25
B. $15.38
C. $40.00
D. $29.50

Answers

Answer: A. $26.25

Explanation:

Using the Gordon Growth model, the value of the stock can be determined using the available variables.

The formula is;

Value of a Stock = Next Dividend / (Required Return - Growth Rate)

Value of a Stock  = Current Dividend (1 + Growth Rate) / (Required Return - Growth Rate)

= 2 ( 1 + 0.05) / ( 0.13 - 0.05)

= (2 * 1.05) / 0.08

= $26.25

According to empirical studies, greater consumption is likely to lead to unhappiness. This condition is called _____.

Answers

Answer:

Affluenza.

Explanation:

It is a term that described to be psychological and socio-metaphorical illness seen amongst children or also in teens who grow up in a privileged lifestyle, largely isolated emotionally and developmentally from their working parents etc. In most cases according to research, it is seen to make such children feel more isolated than their friends, while at the same time feeling an increase in pressure to perform.

The effect of this affluenza is also seen to make such people to have a feeling of giving themselves excessive pressure to achieving things, these includes in both academic and extracurricular activities.

A company sold equipment that originally cost $290,000 for $145,000 cash. The accumulated depreciation on the equipment was $145,000. The company should recognize a:

Answers

Answer:

$0 gain/loss

Explanation:

A company sold an equipment that originally cost $290,000 for $145,000

The accumulated depreciation on the equipment was $145,000

The first step is to calculate the book value of the equipment

Book value of the equipment= Cost of equipment-accumulated depreciation

= $290,000-$145,000

= $145,000

Therefore, the gain/loss on the equipment can be calculated as follows

= Selling price-book value

= $145,000-$145,000

= 0

Hence there is no recognized gain or loss on the equipment

Answer:

Company would recognize a no loss or gain on the disposal i.e Nil

Explanation:

The gain or loss on disposal is the difference between the carrying value of an assets at the point of disposal and the the disposal value.

Gains/(Loss)= Disposal value - carrying value

The carrying value is the difference between the historical cost and the accumulated depreciation till date.

Carrying value = Historical cost - Accumulated depreciation till date

Carrying value = 290,000 - 145,000 = 145 ,000

Gains/Loss= 145,000 - 145,000 = 0.

Company would recognize a no loss or gain on the disposal i.e Nil

Fertile Acres Inc., Growers Farm Co-op, and Harvest Orchards agree to exchange information, conduct an advertising campaign, and set certain regulatory standards to govern their operations. This association is

Answers

Answer: a.  subject to analysis under the rule of reason.

Explanation:

The Rule of Reason is used to interpret whether he Sherman Act which is an anti-trust law has been breached. This Rule was established so as not to unfairly close down all monopolies and Monopolies are not illegal, price fixing is.

If companies therefore come together as Fertile Acres Inc., Growers Farm Co-op, and Harvest Orchards have done, the Government under the Rule of Reason will check to see if the actions of these firms was done in order for them to go against free trade practices. If it was not then the agreement might be allowed to stand.

Peter Parker is evaluating two different methods for manufacturing spiderwebs. The first option is manufacturing them in his home lab. This will entail purchasing an industrial-grade chemical reactor that costs $450,000. He will have to hire a lab assistant who will initially receive a salary of $60,000 a year, but that salary must be adjusted for inflation every year at an inflation rate of 2.5%. After ten years, the chemical reactor can be sold for $30,000. This lab setup can produce 10,000 cubic meters of spiderwebs per year.

The second option is outsourcing all the manufacturing process to a biotech company recently set up by Bruce Banner. In this case, the price of the spiderwebs will be $14 per cubic meter over the next ten years.

Since Peter Parker is a broke student, all of this project is being financed by a superhero fund set up by his late friend and mentor Tony Stark. This fund returns 11% annually. Since this is not a commercial endeavor, there are no taxes nor depreciation to consider. Given these data, calculate the unit price of manufacturing spiderwebs in the lab and decide which of the two options makes the most economic sense. Justify your answers with calculations.

Answers

Answer:

Option B makes the most economic sense.

Explanation:

Option A:

The total Initial investment amount - $450,000 + $60,000 = $510,000 total Initial investment cost excluding the adjustment for inflation every year of the staff.

Per unit manufacturing cost= $510,000 ÷ 10, 000 (cubic meters of spiderwebs per year) = $51 (implying the selling price per unit will be higher than this).

Option B:

Initial total investment cost = $0 (he only outsourced)

Per unit manufacturing cost= less than $14 (because the price of the spiderwebs will be $14 per cubic meter over the next ten years).

By outsourcing following option B, Peter would avoid the massive initial investment cost of buying the industrial-grade chemical reactor that costs $450,000. Also, since this is not a commercial endeavor he needs to be wary of the lower cost per unit of the spiderwebs he stands to gain with option B.

The following transactions occurred during March 2016 for the Wainwright Corporation. The company owns and operates a wholesale warehouse.
1. Issued 30,000 shares of capital stock in exchange for $300,000 in cash.
2. Purchased equipment at a cost of $40,000. $10,000 cash was paid and a note payable was signed for the balance owed.
3. Purchased inventory on account at a cost of $90,000. The company uses the perpetual inventory system.
4. Credit sales for the month totaled $120,000. The cost of the goods sold was $70,000.
5. Paid $5,000 in rent on the warehouse building for the month of March.
6. Paid $6,000 to an insurance company for fire and liability insurance for a one-year period beginning April 1, 2016.
7. Paid $70,000 on account for the merchandise purchased in 3.
8. Collected $55,000 from customers on account.
9. Recorded depreciation expense of $1,000 for the month on the equipment.
Required:
Analyze each transaction and classify each as a financing, investing, and/or operating activity (a transaction can represent more than one type of activity). In doing so, also indicate the cash effect of each. (Amounts to be deducted should be indicated with a minus sign. If there is no cash effect, leave cell blank.)

Answers

Answer:

1. Financing Activity : $300,000

2.Investing Activity : $10,000 and Non-cash Financing and Investing Activity : $30,000

3.Operating Activity : - $90,000

4.Operating Activity :   $50,000

5.Operating Activity :  -$5,000

6.Operating Activity :  -$6,000

7.Operating Activity :  -$70,000

8.Operating Activity :   $55,000

9.Operating Activity :   $1,000

Explanation:

Operating Activities involves the entity`s trading operation in ordinary course of business.

Investing Activities involves the entity`s sale or purchase of Investments.

Financing Activities involves the entity`s acquisition and sale of funds.  

If $4000 is borrowed at a rate of 4.75% interest per year, compounded quarterly, find the amount due at the end of the given number of years. (Round your answers to the nearest cent.)

Answers

Answer:

1. $4000(1 + 4.75/4)^20 = $5,065.21

2.  $4000(1 + 4.75/4)^28 = $5,566.88

3.  $4000(1 + 4.75/4)^36 = $6,118.25

Explanation:

Here is the full question :

f $4000 is borrowed at a rate of 4.75% interest per year, compounded quarterly, find the amount due at the end of the given number of years. (Round your answers to the nearest cent.)

5 Years

7 Years

9 Years

We are to find the future value of the amount

The formula for calculating future value:

FV = P (1 + r/m)^ nm

FV = Future value  

P = Present value  

R = interest rate  

N = number of years  

M = number of compounding per year

1. $4000(1 + 4.75/4)^20 = $5,065.21

2.  $4000(1 + 4.75/4)^28 = $5,566.88

3.  $4000(1 + 4.75/4)^36 = $6,118.25

If you were on the Federal Reserve Board and you were concerned only with reducing high unemployment, you would implement_____________ monetary policy with a focus.

a. Short-term
b. Long-term
c. Contractionary
d. Expansionary

Answers

Answer: Expansionary; Short-term

Explanation:

If you were on the Federal Reserve Board and you were concerned only with reducing high unemployment, you would implement an expansionary monetary policy with a short-term focus.

Expansionary monetary policy has the effect of putting more money into the economy. As there is now more money in the economy, the expectation is that there will be more consumption spending as well as investment. More consumption because people have more money and more investment because interest rates reduce when there is an increased money supply. As there is now more investment as well as the need to satiate the increased demand, more companies can expand and employ people thereby reducing unemployment.

This should however be done with a short term view because expansionary monetary policy will lead to higher inflation in the longer term making business operations less profitable.

Target costing is arrived at by taking a.the selling price and adding desired profit b.the selling price minus desired profit c.the budget standard cost and reducing it by 10% d.the selling price and subtracting the budget standard cost

Answers

Answer:

The answer is B. the selling price minus desired profit

Explanation:

The formula for target costing is:

Selling price minus desired profit(profit margin).

Target costing is one of the tools used by management to determine the cost at which a product will be sold for at every stage of its life-cycle.

One of the advantages of target costing is that it enables firms to think about the best way to produce a product at the lowest possible costs

On January 1, a company issued and sold a $300,000, 5%, 10-year bond payable, and received proceeds of $293,000. Interest is payable each June 30 and December 31. The company uses the straight-line method to amortize the discount. The carrying value of the bonds immediately after the first interest payment is:

Answers

Answer: $293,350

Explanation:

The carrying value of the bonds immediately after the first interest payment will be the addition of the received proceed and the ammortized discount. This will be:

= $293,000 + $350

= $293,350

Note that the ammortized discount was calculated as:

= ($300000 - $293000)/20

= $7000/20

= $350

2. Suppose that you have 2 buyers and one item for sale. The first buyer values your product at $10, and the second buyer values your product at $6. You estimate that the probability of getting the high value customer is 40%. Your marginal costs are $3. You have only one chance to sell your item to these buyers. What is your optimal price and expected profit

Answers

Answer:

Price at $6, Profit = $3

Explanation:

When price is $ 10:

Profit = $10 - $3 = $7

But there is 40% chance of high valued customer

So, profit = $7 X 0.40 = $2.8

When price is $6

Profit = $6 - $3 = $3

In an Oligopoly industry a change in price by one firm will _____ impact the other firms in the industry.

Answers

Answer:

The answer is significantly.

Explanation:

Oligopoly is a market situation in which there are few sellers, selling similar goods and services and many buyers. The barriers to entry in this market in high. Example of a oligopoly market is OPEC.

The competition amongst the few sellers is high because they are selling the same thing and a change in price by one firm will significantly affect other firms in the industry. For example, if a firm reduces the price of its goods, this creates a price war and other firms to start reducing their price to match the lower price. And if another firm increases its price, consumers will switch to competitors

Blossom, Inc., manufactures golf clubs in three models. For the year, the Big Bart line has a net loss of $4,700 from sales $201,000, variable costs $175,000, and fixed costs $30,700. If the Big Bart line is eliminated, $19,800 of fixed costs will remain. Prepare an analysis showing whether the Big Bart line should be eliminated. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) g

Answers

Answer:

Analysis of the Big Bart line discontinuity

Opportunity Costs :

Sales                                                        ($201,000)

Savings :

Variable Costs                                          $175,000

Fixed Costs ($30,700 - $19,800)              $10,900

Financial Advantage / (Disadvantage)     ($15,100)

Conclusion :

Do not eliminate / discontinue Big Bart line.

Explanation:

The results show that closing Big Bart line results in a contribution towards fixed cost being lost to the amount of $15,100. Therefore leaving the entire company in a worse off position.

Indicate whether each of the following statements is true or false.a. A company has the following assets at the end of the year: cash on hand $40,000, cash refund due from customer $30,000, and checking account balance $22,000. Cash and cash equivalents is therefore $62,000.b. A company that has received NSF checks should report these checks as a current liability on the balance sheet.c. Restricted cash that is a current asset is reported as part of cash and cash equivalents.d. A company has cash in the bank of $50,000, petty cash of $400, and stock investments of $100,000. Total cash and cash equivalents is therefore $50,400.

Answers

Answer:

Indication of whether each of the following statements is true or false:

a. A company has the following assets at the end of the year: cash on hand $40,000, cash refund due from customer $30,000, and checking account balance $22,000. Cash and cash equivalents is therefore $62,000.

True

b. A company that has received NSF checks should report these checks as a current liability on the balance sheet.

False

c. Restricted cash that is a current asset is reported as part of cash and cash equivalents.

False

d. A company has cash in the bank of $50,000, petty cash of $400, and stock investments of $100,000. Total cash and cash equivalents is therefore $50,400.

True

Explanation:

a. Cash and cash equivalents do not include refund due from customers.

b. NSF checks mean that the checks were returned by the bank to the company marked "Not Sufficient Funds."  These checks are to be returned to the customers.  The customers' accounts will be debited to reverse the earlier recorded payment offsetting their accounts.  They are, therefore, not to be recorded as liabilities.

c. Since restricted cash is not available for general and immediate use by the company, it is not part of the cash and cash equivalents.  The cash and cash equivalents deal with cash and near cash items that can easily be converted into cash and used in settlement of financial obligations.

d. This is while only marketable securities (bonds, shares, etc) are included in cash and cash equivalents, because most of them have a duration of less than 3 months.  Stock investments, without any qualification, do not qualify to be classified as cash and cash equivalents, unless they are held as marketable securities.

Bandar Industries Berhad of Malaysia manufactures sporting equipment. One of the company’s products, a football helmet for the North American market, requires a special plastic. During the quarter ending June 30, the company manufactured 3,400 helmets, using 2,346 kilograms of plastic. The plastic cost the company $15,484. According to the standard cost card, each helmet should require 0.64 kilograms of plastic, at a cost of $7.00 per kilogram. Required: 1. What is the standard quantity of kilograms of plastic (SQ) that is allowed to make 3,400 helmets? 2. What is the standard materials cost allowed (SQ × SP) to make 3,400 helmets? 3. What is the materials spending variance? 4. What is the materials price variance and the materials quantity variance?

Answers

Answer:

1. What is the standard quantity of kilograms of plastic (SQ) that is allowed to make 3,400 helmets?

3,400 helmets x 064 kgs per helmet = 2,176 kgs

2. What is the standard materials cost allowed (SQ × SP) to make 3,400 helmets?

2,176 kgs x $7 per kg = $15,232

3. What is the materials spending variance?

$15,484 - $15,232 = $252 unfavorable (because total expenditures on materials were higher than budgeted)

4. What is the materials price variance and the materials quantity variance?

materials price variance = [($15,484/2,346) - $7] x 2,346 = -$938 favorable (the purchase price per kg was lower than budgeted)

materials quantity variance = (2,346 - 2,176) x $7 = $1,190 unfavorable

Ben and Jerry were shareholders of Water Ice Inc., an S corp. On Jan. 1, 1998, Ben owned 40 shares and Jerry owned 60 shares. Ben sold his shares to Joe for $10,000 on March 31, 1998. The corp. reported a $50,000 loss at the end of 1998.
How much of the loss is allocated to Joe?
A. $20,000
B. $15,060
C. $12,500
D. $10,000

Answers

Answer: $15,060

Explanation:

From the question, we are informed that Ben and Jerry were shareholders of Water Ice Inc., an S corp. On Jan. 1, 1998, Ben owned 40 shares and Jerry owned 60 shares.

We are further told that Ben sold his shares to Joe for $10,000 on March 31, 1998 and that the corp. reported a $50,000 loss at the end of 1998. The loss that will be allocated to Joe will be:

= $50,000 × 40% × 9/12

= $50,000 × 0.4 × 0.75

= $15,000

The closest figure we have close to that is $15,060 which is option B

The annual report for Malibu Beachwear reported the following transactions affecting stockholders’ equity:a. Purchased $350,100 of common stock now held in treasury.b. Declared cash dividends in the amount of $260,050.c. Paid the dividends in (b).d. Issued 101,000 new shares of $0.10 par value common shares for $2 per share.e. Closed the Dividends account.Required:Indicate the effect (+ for increase, − for decrease, +/− for increase/decrease) of each of these transactions on total assets, liabilities, and stockholders’ equity.

Answers

Answer:

Malibu Beachwear

Indication of the effect (+ for increase, − for decrease, +/− for increase/decrease) of each of these transactions on total assets, liabilities, and stockholders’ equity:

a. Purchased $350,100 of common stock now held in treasury.

Assets (-$350,100) = Liabilities + Shareholders' Equity (-$350,100)

b. Declared cash dividends in the amount of $260,050.

Assets = Liabilities (+$260,050) + Shareholders' Equity (-$260,050)

c. Paid the dividends in (b).

Assets (-$260,050) = Liabilities (-$260,050) + Shareholders' Equity

d. Issued 101,000 new shares of $0.10 par value common shares for $2 per share.

Assets (+$202,000) = Liabilities + Shareholders' Equity (+$202,000)

e. Closed the Dividends account.

Assets = Liabilities + Shareholders' Equity

Explanation:

a. The purchase of common stock held in treasury implies that Malibu Beachwear bought its own shares from investors and paid cash.  The recording of the transaction involves a reduction in Cash (Assets) and Shareholders' Equity with the creation of Treasury Stock Account.  The treasury stock account is a contra account to the Common Stock account and the balance is deducted from the Shareholders' Equity in the balance sheet.

b. By declaring cash dividends, Malibu Beachwear is returning to its stockholders part of the assets that belong to them.  This transaction reduces the Shareholders' Equity (Retained Earnings) and increases the liabilities with Dividends Payable in the sum of $260,050 respectively.

c.  The payment of the cash dividend by Malibu reduces the Assets (Cash) and the Liabilities (Dividends Payable) in the sum of $260,050.

d. The issue of 101,000 new shares of $0.10 par value for $2 per share by Malibu Beachwear increases its Assets (Cash) with the sum of $202,000 (101,000 x $2) and the Shareholders' Equity (Common Stock with $10,100 and Additional Paid-in Capital- Common Stock with $191,900).

e.  Closing the dividends account does not affect the accounting equation.  Instead, it affects the Income Summary (Statement of Retained Earnings) to which the account is closed.

f. The accounting equation of Assets = Liabilities + Equity is an important feature of the double-entry system of bookkeeping and financial accounting.  The equation implies that every transaction affects the two sides of the equation since two or more accounts are involved.  Where it does not affect the two sides, it implies that one side is affected twice or more.  This equation keeps the assets and liabilities + equity sides in balance at all times.  It also implies that Malibu Beachwear for every transaction, will have the assets equal the liabilities or equity.

rancis Inc.'s stock has a required rate of return of 10.25%, and it sells for $87.50 per share. The dividend is expected to grow at a constant rate of 6.00% per year. What is the expected year-end dividend, D1

Answers

Answer:

$3.72

Explanation:

Francis incorporation stock has a required rate of return of 10.25%

The stock is sold at $87.50 per share

The growth rate is 6% per year

Therefore, the expected dividend can be calculated as follows

= Po(rs-g)

= $87.50(10.25%-6%)

= $87.50×4.25

= $3.72

Hence the expected year end dividend is $3.72

Laurie's Ice Rink keeps an extra $1,500 in its checking account simply in case an emergency arises. Which type of motive for holding cash does this represent

Answers

Answer:

Precautionary Motive

Explanation:

there are three motives for Holding Money . They are :

1. Transaction Motive:  the motive for holding money is to be able to carry out transactions such as to pay for goods or services.

2. Precautionary Motive: the motive for holding money is to meet unforeseen circumstances or emergencies. e.g. if my car suddenly develops a fault.

3. Asset or Speculative Motive: the motive for holding money is to take advantage of the rise and fall of prices of bonds and securities.

Alternate Outputs from One Day's Labor Input: USA: 12 bushels of wheat or 3 yards of textiles. India: 3 bushels of wheat or 12 yards of textiles. From the data, the USA:________.

a) has an absolute advantage over India in the production of wheat.

b) should export textiles to India.

c) has an absolute advantage over India in the production of textiles.

d) has a comparative advantage in the production of textiles.

Answers

Answer: a) has an absolute advantage over India in the production of wheat.

Explanation:

When a country is said to have an Absolute advantage in the production of a commodity, it means that they can produce more of that commodity than the country being compared to given the same amount of resources, all else being equal.

Given one day's labor input, the US can produce 12 bushels of wheat while India can only manage 3 bushels. The United States therefore has an Absolute advantage in the production of Wheat than India.

Which of the following dimensions of entrepreneurial orientation is described as a forward-looking perspective characteristic of a marketplace leader that has the foresight to seize opportunities?
A) proactiveness
B) risk taking
C) autonomy
D) competitive aggressiveness

Answers

Answer:

A) Proactiveness.

Explanation:

This explained to be a conceptual development in entrepreneurial orientation that enacts a degree of anticipation in product and also increase a productivity in the entrepreneurial sphere. Some undiluted descriptions shows it to be the introduction of results based on its qualitative study, which is been aimed at the characterizing of the proactiveness in entrepreneurial software firms. Experienced researched organizations has shown that the one which are related to environment monitoring and opportunities quest been highlighted are also core part of proactiveness.

Other Questions
Which areas of the Great Plains were most severely affected by the Dust Bowl? Land and other real estate held as investments by endowments in a government's permanent fund should be reported at Joe has been traveling the country on a road trip for a couple of weeks and is now finally on his way home. He decides to make one more stop at a hotel in State B before he finishes up the drive to his home in State A. While at the hotel, Joe runs into Bill, an old friend and an agent, registered in State B, who solicits the purchase of a security to Joe. Joe agrees to purchase the security and pays for it then and there. Bill informs Joe that he will send the confirmation to Joe's residence in State A and does so. If Bill is properly registered throughout all states of the country, but sold Joe a security that is not registered and is not exempt in any way from registration, which of the following is correct?[A] Every state within which Bill is registered (50 states), may take action against Bill.[B] Only State A and State B can take action against Bill.[C] Only State B can take action against Bill.[D] Only State A can take action against Bill. I have four brothers"This is what type ofobservation? 5/14, 7/10, 5/6, 11/15, 19/21 arrange from ascending order The heights of two similar parallelograms are 16 inches and 20 inches. Theirrespective areas are (3x+5) square inches and 9x square inches. Find the value ofX? I'm doing a task which involves magic v's, a maths pattern which has the rule of having the same total on each side. For e.g. 6 5 3 4 2Is a magic v because each side adds up to 11. I need to make magic V's with the number 2-6 and 3-7. There are 24 possibilities for each number set. Decide all proper subsets of A { 8 ,7 ,6 ,5 ,4 ,3 ,2 ,1} = A 1- { 4 ,3 ,2 ,1} 2- { } 3- { 9 ,8 ,7 } 4- { 11 ,2} 5- { 5 } Please Help! 30 POINTS! Given the following three points, find by hand the quadratic function they represent. (1,8), (0,1),(1,2) A. f(x)=3x2+4x1 B. f(x)=2x2+5x1 C. f(x)=3x2+10x1 D. f(x)=5x2+8x1 Determine if the following set of ordered pairs represents a quadratic function. Explain. (5, 7), (7, 11), (9, 14), (11, 18) A. The y-values go up by the square of the x-value (22=4). Therefore, the ordered pairs represent a quadratic equation. B. The y-values go up by the square of the x-value (22=4). Therefore, the ordered pairs do not represent a quadratic equation. C. Since the differences between the x-values is 2 and the differences between the y-values is 4, that means that the differences between the differences of the y-values are all zero. Therefore, the ordered pairs represent a quadratic equation. D. Since the differences between the differences of the y-values is not consistent, the ordered pairs do not represent a quadratic equation. Using Article 26 from the Universal Declaration of Human Rights, summarize then analyze the article in light of what you know of the education in other countries that do not uphold this right. Include the different sections and discuss the effects on a country if every country involved implemented this right. s=(n(a_(1)+a_(n)))/(2) What in the world is DD/LG??? A Water flows through a pipe at a rate of 10 milliliters every 8.5 seconds. Express thisrate of flow in liters per minute. Round your answer to the nearest hundredth if the gradient of the line joining the points [4,-9]and [-3,h]is -3, find the value of H A woman held fee simple title to a vacant lot adjacent to a business. She was persuaded to make the lot available to the business. She had her attorney prepare a deed that conveyed ownership of the lot to the business "so long as it is used for commercial purposes." After the completion of the gift, the business will own a:___________.a. life estate.b. tenancy for years.c. periodic tenancy.d. determinable fee estate. if you were a former administrator to whom gadams reported what kind of recommendation would you give Write a script named dif.py. This script should prompt the user for the names of two text files and compare the contents of the two files to see if they are the same. If they are, the script should simply output "Yes". If they are not, the script should output "No", followed by the first lines of each file that differ from each other. The input loop should read and compare lines from each file, including whitespace and punctuation. The loop should break as soon as a pair of different lines is found. Find the number of ordered pairs $(m,n)$ of integers that satisfy \[mn = 2m + 4n.\] [tex]Find the number of ordered pairs $(m,n)$ of integers that satisfy \[mn = 2m + 4n.\][/tex] The plot of Seventh Grade is driven forward mostly by Victorsfeelings about school.behavior in French class.desire to impress Teresa.friendship with Michael. From north to south, the major islands of Japan follow agradual curve toward China and Korea. At the top, onefinds Hokkaido. South of Hokkaido is the largest island,Honshu, where Tokyo, Kyoto, Osaka, and the other majorcities of Japan are gathered. The smallest major island,Shikoku, shares the southern end of Honshu with the lastand southernmost of the four main islands, Kyushu.Which term best describes the way the passage is organized?O A. Problem-solutionO B. SequentialO C. SpatialO D. Topical