Answer: Please refer to Explanation
Explanation:
When recording Equipment here the value of the shares at current value should be used and not the cost of the equipment.
DR Equipment $162,250
CR Investment in Pharaoh Company $137,500
CR Gain on Exchange $24,750
(To record Exchange of shares for Equipment)
Workings.
Investment in Pharaoh Company.
= 2,750 shares * $50(purchase price)
= $137,500
Gain on Exchange
= 2,750 shares * (Market Price - Purchase Price)
= 2,750 shares * ( 59 - 50)
= $24,750
Equipment.
= Investment in Pharoah Company + Gain on Exchange
= 137,500 + 24,750
= $162,250
Answer:
Customer Perceived Value (CPV)
Explanation:
CPV is associated with product marketing and branding. It state that success of product depends on customer perception about the product or service ability to setify their needs. Customers interpret and react to marketing messages.
Answer:
E. The demand for loanable funds increases.
Mayonnaise is delicious, agree? Yes indeed.
Answer:
The answer is A.
Explanation:
Out of all the options, only option A is the odd one out. Discount rate for determining net present value of an investment is never dependent upon the present value of the proposal's future cash flows.
Discount rate is dependent upon option B because for selecting a particular investment, alternative investment opportunities must have been considered and if the discount rate for alternative investment was better, it would have been preferred.
Also for Option C. Discount rate for risky investment will be different from the less risky.
It is also dependent upon option D because the cost of equity is always higher than the cost of debt. So it will be different.
