Answer:
a) b.20,000
b) b.20,000
Explanation:
a) Number of common stocks issued = 200,000/10
= 20,000
So, 5000 stocks remain with company.
Number of common stocks outstanding = 20000
b) b. 20,000
b is wrong. I just missed the question again
Answer: $74.63
Explanation:
From the question, we are told that Cute Camel Woodcraft Company pays an annual dividend rate of 11.00% on its preferred stock which currently returns 14.74% and also has a par value of $100.00 per share. We are further informed that the preferred stock issue does not mature, and computes its annual dividend as the product of its dividend rate and its par value.
To calculate the current market value of Cute Camel’s preferred stock will be the annual preferred dividend divided by the required rate of return
The annual dividend will be:
= Par Value x Preferred Dividend Rate
= $100 x 11%
= $100 × (11/100)
= $100 × 0.11
= $11.00 per share
The Current market Value of the Preferred stock will be:
= Annual Preferred Dividend ÷ Required rate of return
= $11.00/14.74%
= $11.00/(14.74/100)
= $11.00/0.1474
= $74.63 per share
Answer:
indirect loss
Explanation:
Indirect loss is the loss, which occurs due to some unavoidable exceptional circumstances. These situations are not generally expected and usually do not comprise the day to day activity.
In the given case also, a fire occurs which destroy the operations, now in order to re-function the operations of the business the company needs to expense on some activities, as the premises require transformation.
Further with these expenses as re installation, repairs and maintenance the company will start operating again, but since they come from an unexpected situation, it was an expense on indirect loss.
