Answer:
If the asset’s book value exceeds the proceeds received from disposal by sale, the company records a gain.
Explanation:
All of the other options are true except for this option;
If the asset’s book value exceeds the proceeds received from disposal by sale, the company records a gain.
It is expected that the company should record a loss rather.
Hence, If the sales of a plant asset exceeds its book value, the company records a gain.
Answer:
13.275%
Explanation:
Using Capital Asset Pricing Model we have,
Cost of equity = Risk free return + Beta (Market return - Risk free return)
Provided risk free rate of return = 4.8%
Beta = 1.13
Market rate of return = 12.3%
Therefore cost of equity = 4.8% + 1.13 (12.3 - 4.8)
= 4.8% + 8.475%
Therefore, Halestorm Corporation's cost of equity
= 13.275%
Answer:
S1
Explanation:
Law of Supply, is the law which states or claims that all else being constant or equal, then the quantity supplied of the good increases when the price of the goods also increases.
Ans this states the positive relationship among the price and the quantity, thus an upward sloping curve. Therefore, it is the curve (supply curve), which is more likely for the CDs.
This curve shows the relationship among the amount that the sellers willing to and able to supply and the price of the CDs, which is called as the quantity of CDs supplied.
Answer:
B. Because cash equivalents are less liquid than cash, they must be reported separately from the Cash account
Explanation:
The <em><u>combined amount of cash and cash equivalents</u></em> will be reported on the balance sheet as the first line item in the section with the heading current assets.
These cash equivalents are short-term, highly liquid investments with a maturity date that was 3 months or less at the time of purchase.
In other words, there is very little risk of collecting the full amount being reported.
