Answer:
There are a number of reasons, the A/P clerk could want this New Expenses account to be opened with some of them being suspicious and some of them being out of a lack of knowledge.
Assuming it is the latter (no need to be suspicious, yet), the A/P might not know that expenses accounts should be specific and well defined and so just assumed that New Expenses would serve them well.
You should explain to them how the naming of accounts is done and ask them for the Source document so you can see what name to give the new account.
If the A/P is being uncooperative, it is time to be suspicious and to clarify the issue with the superior of the clerk so as to avoid any issues with the company's books.
Answer:
Ex-dividend date is 1st April 2010
The last day to purchase the share and still get the dividend proposed is 31st March 2010
Explanation:
The standard is that ex-dividend is two business days before the record date,giving a record date of April 5,2010 which is a Monday,it implies that the 4th Sunday and 3rd Saturday are not considered in the analysis.
Hence the ex-dividend is Thursday 1st of April 2010,as a result,for any shareholder to be entitled to this dividend he or she must have purchased the share of ABC corporation by 31st March 2010, a day before the ex-dividend date.
When you make sure you are using up-to-date information, you are using current information.
Answer:
The market value of capital would be 11.15 million
Explanation:
Book value of an asset is the value at which the asset and liabilities are currently reflecting in the balance sheet of a firm. The market value is the value at which these assets and liabilities are currently valued as per present market rates. For example : Land value normally appreciates over time and eventhough it is purchased at say $100.000/-, its present value market valuation rate could be $300,000/-. This is the difference between a book value and market value.
In this case, on sale of current assets, a profit of 13 million would be made. Out of this, 9.5 million current liability is paid. Remaining is 3.5 million. Cash received after paying current liabilities is 7.65 million. Hence adding 3.5million+7.65million = 11.15million is the market value of capital which was originally 8.5 million.
Book Value Market Value Difference
Capital 8.5 11.15
Current Liability 9.5 9.5
Current Asset 22 35 13
Paid for CL 9.5
Remaining value 3.5
Cash Recd 7.65
Mkt value of capital 11.15
(3.5+7.65)
Answer:
$20,450
Explanation:
With regard to the above, the adjusted cash balance would be computer as;
= Bank balance + deposits in transit - outstanding checks
= $19,400 + $6,550 - $5,500
= $20,450
or
= Bank balance - service fees - NSF checks
= $21,525 - $70 - $1,005
= $20,450
