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boyakko [2]
1 year ago
5

Because common shareholders are entitled to the profits that remain after all of a corporation's other obligations have been met

, common shareholders are known as:________
Business
1 answer:
Studentka2010 [4]1 year ago
8 0

Because common shareholders are entitled to the profits that remain after all of a corporation's other obligations have been met, common shareholders are known as Residual owners.

<h3>What does Shareholders means?</h3>

A shareholder (in the US frequently alluded to as investor) of a company is an individual or legitimate substance.

A body politic, a trust or organization) that is enlisted by the partnership as the lawful proprietor of portions of the offer capital of a public or confidential partnership. The impact of a shareholder on the not entirely set in stone by the shareholding rate claimed. Shareholders of a company are legitimately isolated from the actual enterprise.

They are for the most part not at risk for the organization's obligations, and the shareholders' responsibility for organization obligations is supposed to be restricted to the neglected offer cost except if a shareholder has offered ensures. The company isn't expected to record the helpful responsibility for shareholding, just the proprietor as recorded on the register.

Therefore Shareholders might have procured their portions in the essential market by buying into the Initial public offerings.

Learn more about Shareholder here:

brainly.com/question/19054394

#SPJ4

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In a local​ market, the monthly price of internet access service decreases from ​$40 to ​$30​, and the total quantity of monthly
deff fn [24]

The answer is : The demand is elastic.

Elasticity =

[(80,000 - 180,000)/((80,000+180,000)/2)]/[($40 - $30)/(($40 + $30)/2)]|

[(-100,000/130,000)]/[(10/55)] = -.7692/.1818= -4.23

The answer is -4.23, however when considering own price elasticity of demand, we ignore the negative sign and look at the absolute value to determine whether it is elastic or inelastic.

5 0
3 years ago
Two online magazine companies reported the following in their financial statements: BetterWorth Outdoor Fun 2018 2017 2018 2017
Rudik [331]

Answer:

BetterWorth and Outdoor Fun ROE and P/E Ratio Analysis:

1-a) Computation of 2018 ROE for each company.

ROE = Return on Equity.  It is a percentage of the net income over equity.  It is best to use the average equity, if given two balance sheets.  See explanation for further clarification.

Average Equity = Two balance sheets' equity divided by 2.

BetterWorth's Average Equity = (597,186 + 522,814) / 2 = 560,000

Outdoor Fun's Average Equity = (457,151 + 477,049) / 2 = 467,100

BetterWorth's 2018 ROE = 111,000 / 560,000 x 100 = 19.82%

Outdoor Fun's 2018 ROE = 92,420 / 467,100 x 100 = 19.79%

1-b) BetterWorth's appears to be generating greater returns on stockholders' equity in 2018.  It generated 19.82% as against Outdoor Fun's 19.79%, especially with the use of average equity.

2-a) Computation of 2018 P/E Ratio for each company:

P/E Ratio = Price/Earnings Ratio.  It is expressed as the market price per share divided by earnings per share.

BetterWorth's 2018 P/E Ratio = 54.90 : 3.4 = 16.15 : 1

Outdoor Fun's 2018 P/E Ratio = 33.05 : 2.30 = 14.37 : 1

2-b) Investors appear to value BetterWorth more than Outdoor Fun.  This is because investors are ready to pay 16.15 times more for each unit of the earnings of BetterWorth.  For Outdoor Fun, investors are only willing to pay 14.37 times more for each unit of its earnings.

Explanation:

A) ROE = Return on Equity.  It is expressed as a percentage of net income over average equity.  In the above calculations, we used the average equity.  The reason is this: average equity smoothens the mismatch between the income statement and the balance sheet.

But, what does ROE measure?  It measures a company's management effectiveness in using assets to make profits for shareholders.

Had we used the 2018 equity, Outdoor Fun would have appeared to have performed relatively better than BetterWorth over ROE.

B) P/E ratio relates a company's share price to its earnings.  The P/E ratio shows that the company's stock is overvalued or undervalued.  It depicts investors' confidence or lack of it in the company's ability to produce more or less earnings.  Without earnings expectation, investors cannot price a company's stock highly.  It is therefore a stock valuation tool widely used by financial analysts and investors.

6 0
2 years ago
: Jane and Sarah are both investors. Jane has invested thousands of dollars into one small company. Sarah has invested hundreds
Alja [10]

Answer:

Sarah has invested in sole proprietorship while Jane has invested in corporations

Explanation:

Sole proprietorship is owned and run by a single owner who is legally obligated for all business assets and liabilities. Since Sarah has invested thousands of dollars in one company, it looks like she has invested in sole proprietorship in which she is the owner.

Corporation is run by group of people who are not legally obligated for the assets and liabilities of the corporation. People can invest in more than one corporation as they are open for public offer. These investors earn dividends based on the earnings earned by the corporations So, possibly Jane has invested hundreds of dollars in different large companies.

7 0
3 years ago
The total fixed overhead variance is:a. the difference between actual and budgeted fixed overhead costs. b. the difference betwe
kondaur [170]

Answer:

a. the difference between actual and budgeted fixed overhead costs.

Explanation:

As we know that

The variance is shows the difference between the actual amount and the budgeted amount or estimate amount

So, the total fixed overhead variance is the difference between the actual fixed overhead costs and the budgeted fixed overhead costs i.e to be fixed in nature

Hence, the first option is correct

3 0
2 years ago
Builder Products, Inc., uses the weighted-average method in its process costing system. It manufactures a caulking compound that
geniusboy [140]

Answer:

Explanation:

Beginning WIP inventory                    74000  

Add: Units started during May           390000  

Less: Ending inventory                        34000  

Units completed and transferred       430000  

1                        Equivalent Units

                                                            Whole units Materials    Conversion

Beginning WIP inventory                    74000           74000        74000

Started & completed                          356000     356000        356000

Ending inventory                                34000           23800         10200

Units accounted for                           464000         453800        440200

                                                                Materials Conversion  

Equivalent units of production         453800    440200  

2    

Cost Data:                                                 Total Material Conversion

Beginning WIP inventory                  142800     98800       44000

Current costs                                      755960    513830      242130

Total cost to account for                    898760    612630      286130

Divided by Equivalent units                                    453800 440200

Cost per Equivalent unit                           2.00      1.35 0.65

Materials Conversion  

Cost per Equivalent unit                           1.35 0.65  

3    

Cost Assignment:    

Ending Work in process:    

Material                                                 32130  

Conversion                                            6630  

Total Ending Work in process             38760  

4    

Cost of units completed and transferred    

Material                                                 580500  

Conversion                                            279500  

Total                                                       860000  

5    

Cost to be accounted for:    

Beginning WIP inventory                       142800  

Current costs                                          755960  

Total costs to be accounted for            898760  

Cost accounted for as follws:    

Cost of units completed and transferred 860000  

Cost of ending work in process            38760  

Total costs accounted for                      898760  

6 0
2 years ago
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