Answer:
The reported book value of the franchise will be $200000
Explanation:
An intangible asset is an asset that lacks a physical substance. The value of an intangible asset is amortized just as the value of a tangible/physical asset is depreciated.
The straight line amortization charges a constant amortization expense through out the expected useful life of the intangible asset.
The formula to calculate the straight line amortization per year is,
Amortization expense per year = Cost / Expected Useful life
Amortization expense per year = 300000 / 6 = $50000 per year
The book value of an asset is the value after deducting the accumulated depreciation/amortization from the cost.
Book value = cost - accumulated depreciation or amortization
Book value = 300000 - (50000 * 2) = $200000
When a firm invests directly in a business or venture in another country, it is called FDI.
A form of private equity financing known as venture capital (VC) is given by venture capital funds or organizations to startups, early-stage, and developing businesses that have been identified as having a high growth potential or that have already shown a high growth rate (in terms of number of employees, annual revenue, scale of operations, etc). These early-stage businesses are funded by venture capital firms or funds in exchange for equity, or ownership stakes.
In the hopes that some of the businesses they support will succeed, venture capitalists take on the risk of financing hazardous start-ups. Startups face a lot of uncertainty, and VC investments frequently fail.
Learn more about venture here:
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Answer:
Hi
The factors of production are the basic elements to produce goods and services to meet our needs. They can be nature, work and capital, but currently, it considers that there are five productive factors, since the three already mentioned have been added, the human knowledge that is incorporated into the work and technology factor, which is incorporated into the capital.
- Natural resources. They are those that are available in nature and are used as raw material (minerals, trees, plants) or as a source of energy (water, oil, wind) in the production of goods.
- Capital. It is the financial resources, such as money, that must be invested in the production of new goods or services. Material resources are also counted as part of the capital factor, it is the set of material goods created by people and used to produce goods or services.
- Job. Most important productive factor and refers to the physical and intellectual effort developed by people, with the objective of intervening in the productive activity. Its effort, its educational level, its technical training and professionalism, as well as its values are essential for the quality of the production process and the success of a company.
Explanation:
Answer: C. hope this help!!!!!
Answer:
The correct statement related to the pro forma statements is:
The addition to retained earnings is equal to net income less cash dividends.
Explanation:
When the beginning retained earnings are increased by the addition to retained earnings, it means that the cash dividends have been subtracted from the net income. This addition is the leftover net income after offsetting the dividends. It increases the retained earnings by the end of the financial period.
