Answer:
Book value per share: 48.88
Explanation:
The book value per share is the minimun value of the company equity.
Book value per share = (Total Equity - Preferd Equity) / Total shares outstanding
Book value per share = 2,200,000 / 45,000
Book value per share = 48.88
In the numerator, we do not deduct anything from equity because there are no preferred shares. In the dividend, the outstanding shares are 45,000, because 50,000 have been issued and 5,000 are held in treasury, despite being authorized to issue 100,000 shares.
The X-Ray machine can only be sold to the industrial market
Answer: Limited marketing
Explanation: Limited marketing strategy refers to the marketing strategy in which the organisation tries to target a specific set of customers from a target market rather than everyone.
These are opted by organisation that have unique features in the product they are offering or have specialization in a specific product among others.
In the given case, Shelly has expertise in making bakery products but her cupcakes gets special attention from the customers.
Thus, we can conclude that the decision of Shelly to open a cupcake shop is an example of limited marketing.
Answer:
$99,800
Explanation:
The statements of cash flows show cash inflows and out flows from the business activities which are recognized as operating, investing and financing activities.
When an asset is sold, the amount received from the sale of the asset is recognized as an inflow in the investing section of the cash flow statement.
The gain/loss from the sale would have been treated in the operating section based on the effect it had in the income statement while computing the net income of the company.
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