Answer:
A. Dr Prepaid Insurance 40,000
Cr Insurance Expense 20,000
Cr Cash 20,000
Dr Prepaid Insurance 20,000
Cr Insurance Expense 20,000
Dr Prepaid Insurance 20,000
Cr Cash 20,000
b. Dr Dividends 17,000
Cr Wages Expense 17,000
Explanation:
Preparation of the journal entries to correct the errors.
A. Dr Prepaid Insurance 40,000
(20,000+20,000)
Cr Insurance Expense 20,000
Cr Cash 20,000
Dr Prepaid Insurance 20,000
Cr Insurance Expense 20,000
Dr Prepaid Insurance 20,000
Cr Cash 20,000
b. Dr Dividends 17,000
Cr Wages Expense 17,000
CBA Company reported total stockholders' equity of $76,000 on its balance sheet dated December 31, 2018. During the year ended December 31, 2019, CBA reported net income of $11,900, declared and paid a cash dividend of $3,900, and issued additional common stock for $11,000. What is total stockholders' equity as of December 31, 2019
Answer:
$95,000
Explanation:
Calculation to determine What is total stockholders' equity as of December 31, 2019
Using this formula
Total stockholders' equity=Total stockholders' equity+Net income-Cash dividend+Additional common stock
Let plug in the formula
December 31, 2019 stockholders’ equity=$76,000+$11,900-$3,900+$11,000
December 31, 2019 stockholders’ equity=$95,000
Therefore total stockholders' equity as of December 31, 2019 is $95,000
Raj & company has fixed costs of $32,500, its
contribution ratio is 65%, and is selling its
product for $20 per unit. Its contribution margin
per unit is
A. $15
B. $13
C. $18
D. Cannot calculate
Answer:
Unitary contribution margin= $13
Explanation:
Giving the following information:
Contribution margin ratio= 65%
Selling price per unit= $20
To calculate the unitary contribution margin, we need to use the following formula:
Unitary contribution margin= Contribution margin ratio*selling price
Unitary contribution margin= 0.65*20
Unitary contribution margin= $13
An increase in interest rates will help increase the future value of a portfolio because the cash flows produced by the portfolio: a. will increase the maturity value of the bond. b. will decrease the yield to maturity of the bond. c. can be used to recall high-rate bonds. d. can be reinvested at higher rates of return. e. will generate cash to pay future coupon interest.
Answer:
d. can be reinvested at higher rates of return.
Explanation:
Option d. can be reinvested at higher rates of return.
The interest rates on the portfolio is the yield that a person receives on his investment. This yield he gets periodically, therefore amount received can be used to generate further yields by reinvesting it into higher interest paying investments.
A borrows 10,000 from B and repays with 40 quarterly installments at a 4% annual effective rate. After 6 years, B sells the rights to future payments to C, at a price which yields C 6% annual effective over the remaining installment periods. What price did C pay
Answer:
$4,303.68
Explanation:
Quarterly payment = $10,000 / 32.835 (PVIFA, 1%, 40 periods) = $304.55
After 6 years, the principal due = $4,483
Present value of an annuity = payment x PVIFA = $304.55 x 14.13126 (PVIFA, 1.5%, 16 periods) = $4,303.68
The difference is not significant since the remaining payments are not many, and the increase in quarterly rate is only 0.5%
ales $3,700 Current assets $4,500 Current liabilities $960 Costs 2,400 Fixed assets 5,200 Long-term debt 3,620 Taxable income $1,300 Equity 5,120 Taxes (21%) 273 Total $9,700 Total $9,700 Net income $1,027 Assets, costs, and current liabilities are proportional to sales. Long-term debt and equity are not. The company maintains a constant 60 percent dividend payout ratio. As with every other firm in its industry, next year's sales are projected to increase by exactly 30 percent. What is the external financing needed
Answer:
$2,088
Explanation:
Calculation to determine the external financing needed
First step is to calculate the Addition to retained earnings
Sales $4,810
($3700*1.30)
Costs $3,120
($2,400*1.30)
Taxable income $1,690
($4,810-$3,120)
Taxes $355
($1,690*21%)
Net income $1,335
($1,690-$355)
Less:Dividends $801
($1,335*60%)
Addition to retained earnings $534
($1,335-$801)
Second step is to calculate the Total assets
Total assets=$9,700*1.30
Total assets=$12,610
Third step is to calculate the Total equity
Total equity =5,120+Addition to retained earnings
Total equity=5,120+$534
Total equity=$5,654
Fourth step is to calculate Current liabilities
Current liabilities =$960*1.30
Current liabilities=$1,248
Fifth step is to calculate the Total liabilities
Total liabilities=Current liabilities+Long term debt
Total liabilities=$1,248+$3,620
Total liabilities=$4,868
Now let determine the External financing needed
Using this formula
External financing needed=Total assets-(Total equity+Total liabilities)
Let plug in the formula
External financing needed=$12,610-($5,654+$4,868)
External financing needed=$12,610-$10,522
External financing needed=$2,088
Therefore the external financing needed is $2,088
What training would you provide to the supervisors who conduct job interviews? What are some primary safety concerns that the company should have about the warehouse operation? What OSHA guidelines do the company need to follow and communicate to employees? What kind of disabilities do you think could be reasonably accommodated for this job position?
Answer:
Kindly check explanation
Explanation:
For a Supervisor to be deemed capable of conducting a job interview, such individual must posses requisite knowledge about laws guiding the provision of employment, will include both the federal and state employment laws and act, information and provision about equal opportunity for employment and the framework of the labor force.
Primary safety concerns on warehouse operation:
Heavy equipment handling, this include knowledge on the use of heavy machines, restricted areas which must be avoided dduring its use. Similarly, heavy material lifting techniques to avoid back injury.
Also, harmful substances should be given special attention and workers should be trained to avoid prolonged exposure.
3.)
Safety tips and guidelines as outlined and provided by OSHA must be emphaxised and enforced. And workers must be continually updated on new directives as provide by OSHA.
4.)
An impairment which could still be accommodated is hearing ; such a person Can still be aided by following the lead of others and use of sign language or written notes. Visual or impairment of the limbs seems extreme and dies not seem manageable.
A company is an organization or commercial business setup. The supervisors conducting interviews must be well versed with laws regarding employment.
What is employee safety?Workplace safeties are the conditions and environment that include and cover the health, safety, and well-being of the employees.
A person conducting interviews in a company must be thorough with laws regarding employment. The laws should be both federal and state law and must include the rights of the employees.
In warehouse operations, the handling of the heavy equipment must be proper and includes the proper and complete knowledge of the machines and the equipment.
According to OSHA, the guidelines provided must be followed to ensure safety and should be enforced in the companies for security purposes.
A mute or hearing impaired person can be accommodated in places like this as they can see things to perform the tasks but will not be able to listen and talk but can be communicated in sign languages.
Therefore, safety guidelines by OSHA must be followed.
Learn more about employees here:
https://brainly.com/question/20910158
If 20,000 units in ending inventory are 75% complete with respect to direct materials and 60% complete as to conversion costs, then the equivalent units of production for direct materials are ________ and for conversion costs are _________. The weighted-average method is used.A. 12,000 and 12,000B. 15,000 and 12,000C. 20,000 and 20,000D. 15,000 and 15,000
Answer:
B. 15,000 and 12,000
Explanation:
The computation of the equivalent units of production is given below;
For direct material
= 20,000 units × 75%
= 15,000 units
For conversion cost
= 20,000 × 60%
= 12,000 units
Hence, the option b is correct
So, the same should be considered
At the beginning of the year, Crane Company estimates annual overhead costs to be $2400000 and that 400000 machine hours will be operated. Using machine hours as a base, the amount of overhead applied during the year if actual machine hours for the year was 375000 hours is
Answer:
the amount of overhead applied during the year is $2,250,000
Explanation:
The computation of the overhead applied is shown below;
= Estimated annual overhead ÷ machine hours × actual machine hours
= $2,400,000 ÷ 400,000 machine hours × 375,000 hours
= $2,250,000
hence, the amount of overhead applied during the year is $2,250,000
Winston Company reported net income of $50,000 for the year. During the year, accounts receivable decreased by $7,000, accounts payable increased by $3,000 and depreciation expense of $5,000 was recorded. Net cash provided by operating activities for the year is Group of answer choices $40,000. $65,000. $49,000. $45,000.
Answer:
$65000
Explanation:
Below is the calculation:
To find the net cash from the operating activity, we are required to add depreciation, accounts payable and accounts receivables.
Net income of the company = $50000
Add- expenses of depreciation = 5000
Add - Increase in accounts payable = 3000
Add - Decrease in accounts receivable = $7000
Thus net cash from operating activity = 50000 + 5000 + 3000 + 7000 = $65000
The following costs were incurred in August: Direct Materials $18,000 Direct Labor $21,000 Manufacturing Overhead $33,000 Selling Expenses $14,000 Administrative Expenses $19,000 Conversion costs during the month of August totaled: a. $39,000. b. $105,000. c. $54,000. d. $51,000.
Answer:
C. $54,000
Explanation:
Given the following information,
Direct labor = $21,000
Manufacturing overhead = $33,000
Conversion cost refers to the sum of direct labor and manufacturing overhead
Conversion cost = Direct labor + Manufacturing overhead
Conversion cost = $21,000 + $33,000
Conversion cost = $54,000
Suppose that a small family farm sold its output for $100,000 in a given year. The family spent $25,000 on fuel, $40,000 on seed, fertilizer, and pesticides, and $25,000 on equipment, including maintenance. The family members could have earned $10,000 working at other occupations. Refer to Scenario 13-21. What is the economic profit for the family farm
Answer:
0
Explanation:
Economic profit = accounting profit - implicit cost
Implicit cost is the cost of the next best option forgone when one alternative is chosen over other alternatives
accounting profit = revenue - explicit cost
Explicit cost includes the amount expended in running the business.
100,000 - (25,000 + 40,000 + 25,000) = 10,000
economic profit = 10,000 - 10,000 = 0
Aircard Corporation tracks the number of units purchased and sold throughout each accounting period but applies its inventory costing method at the end of each period as if it uses a periodic inventory system. The following are the transactions for the month of July.
Units Unit Cost
July 1 Beginning Inventory 2,700 $47
July 5 Sold 1,350
July 13 Purchased 6,700 51
July 17 Sold 3,700
July 25 Purchased 8,700 57
July 27 Sold 5,700
Required:
Calculate the cost of ending inventory and cost of goods sold assuming a perpetual inventory system is used in combination with (a) FIFO and (b) LIFO.
Answer:
Aircard Corporation
Perpetual Inventory System
FIFO LIFO
Ending Inventory = $418,950 $387,450
Cost of goods sold = $545,550 $577,050
Explanation:
a) Data and Calculations:
Date Transactions Units Unit Cost Total
July 1 Beginning Inventory 2,700 $47 $126,900
July 5 Sold (1,350)
July 13 Purchased 6,700 51 341,700
July 17 Sold (3,700)
July 25 Purchased 8,700 57 495,900
July 27 Sold (5,700)
July 31 Total available 18,100 $964,500
July 31 Total units sold (10,750)
July 31 Ending Inventory 7,350
FIFO:
Cost of Ending Inventory
Date Transactions Units Unit Cost Total Balance
July 1 Beginning Inventory 2,700 $47 $126,900 $126,900
July 5 Sold (1,350) $63,450
July 13 Purchased 6,700 51 341,700 405,150
July 17 Sold (3,700) 221,850
July 25 Purchased 8,700 57 495,900 717,750
July 27 Sold (5,700) 418,950
Ending Inventory = $418,950
Cost of goods sold = $545,550 ($964,500 -$418,950)
LIFO:
Cost of Ending Inventory
Date Transactions Units Unit Cost Total Balance
July 1 Beginning Inventory 2,700 $47 $126,900 $126,900
July 5 Sold (1,350) $63,450
July 13 Purchased 6,700 51 341,700 405,150
July 17 Sold (3,700) 216,450
July 25 Purchased 8,700 57 495,900 712,350
July 27 Sold (5,700) 387,450
Ending Inventory = $387,450
Cost of goods sold = $577,050 ($964,500 -$387,450)
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 3,100 helmets, using 2,232 kilograms of plastic. The plastic cost the company $14,731. According to the standard cost card, each helmet should require 0.65 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 3,100 helmets? 2. What is the standard materials cost allowed (SQ × SP) to make 3,100 helmets? 3. What is the materials spending variance? 4. What is the materials price variance and the materials quantity variance?
Answer:
Bandar Industries Berhad of Malaysia
1. The standard quantity of kilograms of plastic (SQ) that is allowed to make 3,100 helmets is:
= 2,015
2. The stand materials cost allowed (SQ * SP) is:
= $14,105
3. The materials spending variance is:
= $626 U
4. The materials price variance is:
= $893 F
The materials quantity variance is:
= $1,519 U
Explanation:
a) Data and Calculations:
Number of helmets manufacturing = 3,100
Units of direct materials used = 2,232 kilograms
Actual unit of direct materials used = 0.72 kilograms (2,232/3,100)
Cost of direct materials = $14,731
Unit cost of direct materials = $6.60 ($14,731/2,232)
Standard costs per kilogram = $7.00
Standard units of direct materials = 0.65 kilograms
1. The standard quantity of kilograms of plastic (SQ) that is allowed to make 3,100 helmets = 2,015 (3,100 * 0.65)
2. The stand materials cost allowed (SQ * SP) = $14,105 (2,015 * $7.00)
3. The materials spending variance = $626 U ($14,731 - $14,105)
4. The materials price variance = standard price - actual price * actual quantity used
= $7.00 - $6.60 * 2,232
= $893 F
The materials quantity variance = standard quantity - actual quantity * standard price
= 2,015 - 2,232 * $7
= $1,519 U
The reporting of net cash provided or used by operating activities that lists the major items of operating cash receipts, such as receipts from customers, and subtracts the major items of operating cash disbursements, such as cash paid for merchandise, is referred to as the:
Direct method
Explanation:
Theresa is considering starting a small business. She plans to purchase equipment costing $145,000. Rent on the building used by the business will be $26,000 per year while other operating costs will total $30,000 per year. A market research specialist estimates that Theresa's annual sales from the business will amount to $80,000. Theresa plans to operate the business for 6 years. Disregarding the effects of taxes, what will be the amount of annual net cash flow generated by the business?
A) $24,000
B) $56,000
C) $80,000
D) None of these answers is correct.
whole number. a. Before the tax is imposed, the equilibrium price is $ 1.5 per bottle and the equilibrium quantity is 4 billion bottles. b. After the excise tax is imposed, consumers pay a price of $ 2 per bottle.c. After the excise tax is imposed, the price (or amount) producers keep after the tax is paid is $ per bottle.After the tax is imposed, the equilibrium quantity is 3 billion bottles.e. The government is able to collect $ billion of tax revenue from the tax.
Answer: hello your question is poorly structured attached below is the missing graph and missing part of the question
Assume the government imposes a $1.00 excise tax on the sale of every 2 liter bottle of soda. The tax is to be paid by the producers of soda. The figure below shows the annual market for 2 liter bottles of soda before and after the tax is imposed.
answer :
a) $2 , 4 billion
b) $2.5
c) $1.5
d) 3 billion
e) $3 billion
Explanation:
a) equilibrium price = $2 per bottle
equilibrium quantity = 4 billion bottles
b) After imposition of excise tax
consumers will pay = $2.5
c) The amount producers keep after the imposition of taxes
= $2.5 - tax
= 2.5 - 1 = $1.5
d) New equilibrium quantity ( after tax is imposed )
= 3 billion bottles ( from graph attached ) i.e. intersection of S2 and D
e) Amount of tax revenue collected by the government from the imposition of tax
= quantity of bottles sold * $1
= 3 billion * $1 = $3 billion
Rye Company has provided the following information: Weighted average number of outstanding common shares, 192,000 Net income, $441,600 Number of authorized common shares, 390,000 Number of treasury shares, 23,000 If Rye has issued 215,000 shares, what is Rye's earnings per share (EPS)
Answer:
$2.30
Explanation:
Calculation to determine what is Rye's earnings per share (EPS)
Using this formula
Earnings per share = Net income ÷ Weighted average number of outstanding shares
Let plug in the formula
Earnings per share= $441,600 ÷ (215,000 shares issued - 23 000 shares in treasury)
Earnings per share= $441,600 ÷192,000
Earnings per share= $2.30
Therefore Rye's earnings per share (EPS) is $2.30
Taggart Transcontinental hs a market cap of $4.5 billion, total enterprise value (including net debt) of $8 billion, an equity beta of 1.1, and a debt beta of 0.10. Your estimate of the asset beta for Taggart Transcontinental is closest to: A) 0.42 B) 0.59 C) 0.66 D) 0.71 E) 1.1
Answer:
C) 0.66
Explanation:
Market capitalization = $4.5 billion
Total enterprise value = $8 billion
Total Debt = ($8 billion - $4.5 billion) = $3.5 billion
Weight of Equity = $4.5 billion/$8 billion = 0.5625
Weight of debt = $3.5 billion / $8 billion = 0.4375
Beta of Debt = 0.10
Beta of Equity = 1.1
Asset Beta = 0.5625*1.1 + 0.4375*0.10
Asset Beta = 0.6625
Research indicates that when it comes to the diversification-performance relationship, the highest economic performance occurs with a/an:
Answer:
Related diversification strategy.
Explanation:
Related diversification is a business strategy in which a business enter a new industry which has some similarities with a company's existing business industry. The highest economic benefit will be achieved by a business if it enters into related diversification strategy.
Nancy Lerner is taking a course from Professor Goodheart who will count only her best midterm grade and from Professor Stern who will count only her worst midterm grade. In one of her classes, Nancy has scores of 30 on her first midterm and 50 on her second midterm. When the first midterm score is measured on the horizontal axis and her second midterm score on the vertical, her indifference curve has a slope of zero at the point (30, 50). Therefore this class could
Answer:
be professor Goodheart's but could not be Professor Stern's.
Explanation:
The indifference curve has a slope zero when marginal rate of substitution is zero. The marginal rate of substitution for Nancy is zero when she scores 30 in her first midterm. She scores 50 in her second midterm. The Professor Goodheart's count best midterm grades so Nancy grades must belong to Professor Goodheart.
The statement of cash flows Group of answer choices must be prepared on a daily basis. summarizes the operating, financing, and investing activities of an entity. is another name for the income statement. is a special section of the income statement.
Answer:
summarizes the operating, financing, and investing activities of an entity
Explanation:
The statement of cash flows : summarizes the operating, financing, and investing activities of an entity.
Finisher Inc. sells merchandise of $250,000 in 2020 that includes a three-year limited warranty. Warranty costs are estimated to be 1% of sales. The company incurred actual costs of $800 in 2020 related to the warranties. a. Record the warranty accrual at the time of sale in 2020. b. Record the adjustment to the warranty accrual for actual warranty costs in 2020.
Answer: See explanation
Explanation:
a. Record the warranty accrual at the time of sale in 2020.
Debit Warranty expense = $250,000 × 1% = $2,500
Credit Warranty Liability $2,500
(To record the warranty accrual)
b. Record the adjustment to the warranty accrual for actual warranty costs in 2020.
Debit Warranty Liability $800
Credit Cash and Payables $800
Acme Air Compressor Company has decided to limit the number of compressors it will supply to some of its distributors that it suspects are selling a line of compressors made by one of its competitors. Acme is using its referent power in its distribution channel.
a. True
b. False
Answer:
b. False
Explanation:
A Referent power in an organization my be defined as the power of a person or a company that is based on high level of identification with that of admiration or inspiration or out of respect.
Thus in the context, the Acme company does not uses its referent power to its distribution channel when the company decides to limit the supply of the its compressors to some of its distributors as the distributors are selling some of the air compressors of the competitor company.
Hence the answer is FALSE.
Susan sued her former employer for age, race, and gender discrimination. She claimed $200,000 in damages for loss of income, $300,000 for emotional harm, and $500,000 in punitive damages. She settled the claim for $700,000. As a result of the settlement, Susan must include in gross income:
Incomplete question. The options:
a. $700,000.
b. $500,000.
c. $490,000 [($700,000/$1,000,000) × $700,000].
d. $0.
e. None of these.
Answer:
d. $0.
Explanation:
Yes, according to information found on the IRS (internal revenue services) website, a taxpayer is not expected to include claims from any settlements received in their gross income statement.
The statement reads, "IRC Section 104(a)(2) permits a taxpayer to exclude from gross income "the amount of any damages (other than punitive damages) received (whether by suit or agreement and whether as lump sums or as periodic payments) on account of personal injuries or physical sickness."
A legal document which summarizes the rights and privileges of bondholders as well as the obligations and commitments of the issuing company is called Group of answer choices a bond indenture. a bond debenture. trading on the equity. a term bond.
Answer:
a bond indenture
Explanation:
a bond debenture can be described as the legal contract of a bond
Features of a bond debenture
Reason why the bond was created the interest rate to earned the method by which interest is calculated Maturity datescovenantsa bond indenture is a legal document which summarizes the rights and privileges of bondholders as well as the obligations and commitments of the issuing company
t is often costly to obtain the information necessary to make good decisions. yet your own interests can be best served by rationally weighing all options available to you. This requires informed decision making. does this mean that making uninformed decisions is irrational? How do you determine how much information is the right amount?
Answer:
The answer is below
Explanation:
1. Yes, making uninformed decisions is irrational. This is because it will cost the individuals making uninformed decisions to lose money in the process. Such individuals may also lose another important aspect concerning their decision, such as technological advantage, political assistance, social benefits, economic privilege, etc.
2. To determine how much information is the right amount is to ensure you continue to acquire information as long as the benefit of the additional information exceeds the additional costs. Otherwise, it is no longer the right amount anymore.
what is the technology seed? what are the main parameters of value and the functions?.
Answer:
Seed technology is technology in which superior crop seed development, plant varieties, seed production, seed marketing, quality control, seed psychology distribution, seed certification, etc.
These parameters are the seed technology variable and function.
Explanation:
The key points of interest and helpfulness of MPV are the different items and drive customer purchasing options.
Why would they say that they're important?
GEN TRIZ is a major vehicle for guaranteeing a distance from the market view and profit from MPV. Even the highest specialized arrangements risk a limited financial value without this view. A limited emphasis on MPV guarantees that the only focus of small R&D development assets is to improve customers' issues rather than to improve everything.
You are a bidder in an independent private values auction, and you value the object at $4,000. Each bidder perceives that valuations are uniformly distributed between $1,500 and $9,000. Determine your optimal bidding strategy in a first-price, sealed-bid auction when the total number of bidders (including you) is:
Answer:
a. 2 bidders $2,750
b. 10 bidders $3,750
c. 100 bidders $3,975
Explanation:
Calculation to determine what your optimal bidding strategy in a first-price, sealed-bid auction when the total number of bidders (including you) is:
Using this formula
Optimal bidding = Bidder's own valuation - (Bidder's own valuation - Lowest valuation) ÷ Number of bidders
Let plug in the formula
a) 2 bidders
Optimal bid = $4,000 - [($4,000 - $1,500) ÷ 2]
Optimal bid = $4,000 - ($2,500÷2)
Optimal bid = $4,000 - $1,250
Optimal bid = $2,750
b) 10 bidders
Optimal bid = $4,000 - ($4,000 - $1,500) ÷ 10
Optimal bid = $4,000 - ($2,500÷10)
Optimal bid = $4,000 -$250
Optimal bid =$3,750
c) 100 bidders
Optimal bid = $4,000 - ($4,000 - $1,500) ÷ 100
Optimal bid = $4,000 - ($2,500÷100)
Optimal bid = $4,000-$25
Optimal bid = $3,975
Therefore your optimal bidding strategy in a first-price, sealed-bid auction when the total number of bidders (including you) is:
a. 2 bidders $2,750
b. 10 bidders $3,750
c. 100 bidders $3,975
In an inventory control system, the annual demand is 12,000 units, the ordering cost is GHS 30 per order and the inventory holding cost is GHS 3.00 per year. The order quantity is 1000 units and the cost per unit of the item is GHS 150. What is the total cost per year?
Answer:
Total cost per year = $1,801,860
Explanation:
Given:
Annual demand = 12,000 units
Ordering cost = $30 per order
Inventory holding cost = $3 per year
Order quantity = 1000 units
Cost per unit of the item = $150
Find:
Total cost per year
Computation:
Total cost per year = Purchase cost + Order cost + Inventory holding cost
Total cost per year = [12,000 x 150] + [12,000/1000 x 30] + [1,000/2 x 3]
Total cost per year = 1,800,000 + 360 + 1500
Total cost per year = $1,801,860
Treasury stock should be reported in the financial statements of a corporation as a(n)________.
a. investment
b. liability
c. current asset
d. deduction from stockholders' equity
Answer:
d. deduction from stockholders' equity
Explanation:
A treasury stock means the stock that is repurchased by the issued company. That means the shares are purchase bank which ultimately decreaed the outstanding amount of the stock on the open market. Also it contains the debit balance so it should be subtracted from the stockholder equity
Therefore the option d is correct
