Answer:
Option C
Number of shares outstanding after split = 150,000 units
Explanation:
<em>A stock split occurs where a company creates additional shares in units such the total nominal value of the outstanding shares remains the same. With a stock split, the total outstanding shares increases without a change in the total nominal value while the nominal value per share reduces.</em>
Total shares before the split = 50,000
Total outstanding shares after split
= 50,000 × 3 = 150,000
Number of shares outstanding after split = 150,000 units
Answer:
are costs that do not vary with production or sales level
Explanation:
Fixed cost can as well be regarded as overhead cost they are expenses in the company that does not depends on the change in the amount of goods and services produced in the company. They are time- related cost such as
salaries, property taxes, interest as well as insurance. It should be noted that fixed costs are costs that do not vary with production or sales level
Answer:
$219,084
Explanation:
The cost of the land to be recorded includes the purchase price of the land as well as other cost incurred in the process of making the land available for use.
Any amount received as a result of this purchase in form of rebates and discounts will be deducted from the cost.
Hence the cost of the land
= $196,981 + $18,718 + $3,885 - $500
= $219,084
The stock went down 4.8%
Rate of Change of a stock is (New price - old price/ old price) *100
5.95-6.25 / 6.25 * 100
-.3/6.25 *100
-.048 *100 = -4.8%
Answer: $3000
Explanation: Allowance for doubtful accounts is the contra account to accounts receiveable when all the bad debts need to be accounted for. The bad debts reduces the accounts receivable line but all bad debts are actually deducted from the allowance for doubtful accounts.
The allowance for doubtful accounts for that year is calculated as 5% of the accounts receivable balance. This amounts to $8000 (160000 x 5%) before bad debts have been accounted for. Allowance for doubtful accounts moves in the opposite direction as accounts receivable because it is a contra account to this line item. At the end of the year before year end closing entries are done, and after the bad debts have been accounted for, the balance on the allowance for doubtful accounts is $5000.
This means that bad debts for that year is:
8000 (balance before bad debts have been accounted for)
- 5000 (balance after bad debts have been accounted for)
= $3000.
