Answer:
ill answer shortly just leaving it here os i dont forget about it
Explanation:
Answer:
The answer is "Option c"
Explanation:
The Dividend payout ratio is 40% so that EPS* is the dividend payout ratio of the company:
![= 6 \times 40 \% \\\\= \$ \ 2.40](https://tex.z-dn.net/?f=%3D%206%20%5Ctimes%2040%20%5C%25%20%5C%5C%5C%5C%3D%20%5C%24%20%5C%202.40)
Inventory market value:
![= Dividend \times \frac{(1+g)}{(r-g)}](https://tex.z-dn.net/?f=%3D%20Dividend%20%5Ctimes%20%5Cfrac%7B%281%2Bg%29%7D%7B%28r-g%29%7D)
Where r = return rate is needed
g= growth ![= 5.25\% = \frac{5.25}{100} = 0.0525](https://tex.z-dn.net/?f=%3D%205.25%5C%25%20%3D%20%5Cfrac%7B5.25%7D%7B100%7D%20%3D%200.0525)
![\to 22.86 = \frac{(2.4 \times (1+g))}{ r-0.0525}\\\\\to 22.86 = \frac{(2.4 \times (1+0.0525))}{r-0.0525}\\\\\to (22.86 \times r)-(22.86 \times 0.0525)=2.526\\\\\to (22.86 \times r)-1.20015=2.526\\\\\to 22.86r=3.72615\\\\\to r=0.1630\\\\\to r=16.30 \%](https://tex.z-dn.net/?f=%5Cto%2022.86%20%3D%20%5Cfrac%7B%282.4%20%5Ctimes%20%281%2Bg%29%29%7D%7B%20r-0.0525%7D%5C%5C%5C%5C%5Cto%2022.86%20%3D%20%5Cfrac%7B%282.4%20%5Ctimes%20%281%2B0.0525%29%29%7D%7Br-0.0525%7D%5C%5C%5C%5C%5Cto%20%2822.86%20%5Ctimes%20r%29-%2822.86%20%5Ctimes%200.0525%29%3D2.526%5C%5C%5C%5C%5Cto%20%2822.86%20%20%5Ctimes%20r%29-1.20015%3D2.526%5C%5C%5C%5C%5Cto%2022.86r%3D3.72615%5C%5C%5C%5C%5Cto%20r%3D0.1630%5C%5C%5C%5C%5Cto%20r%3D16.30%20%5C%25)
Answer:
b. To ensure strict hierarchical control of the organization.
Answer:
A. $86,900
Explanation:
Henry’s capital account will be credited by the amount of $86,900. See computation below.
Cash $57,300
Equipment 34,100
Inventory 10,400
Note payable (14,900)
————
Total $86,900
*Both the equipment and the inventory will be recorded on partnership’s book at fair market value at the time of contribution.
*The partnership may absorb the obligation if it is associated with an asset contributed by partner. Thus, it will be deducted to his capital account as contribution to the partnership.