Answer:
Please check the following explanation
Explanation:
Capital losses are not included in the calculation of net investment income. Therefore, $2,000 long-term capital loss would have no effect on investment income. Thus, Porters' investment income will remain $2,500.
Consequently, Porters' can deduct $2,500 of the investment interest expense and the remaining $500 of investment interest expense will be carried over to next year.
Answer: $222,800
Explanation:
Given that,
Sales = $427,000
Cost of goods sold (all variable) = $173,400
Total variable selling expense = $21,200
Total fixed selling expense = $18,900
Total variable administrative expense = $9,600
Total fixed administrative expense = $36,300
Variable expenses:
= Cost of goods sold + Variable selling expense + Variable administrative expense
= $173,400 + $21,200 + $9,600
= $204,200
Contribution margin = Sales - Variable expenses
= $427,000 - $204,200
= $222,800
<span>This means shareholders own the corporation, but it is controlled by managers.</span>
Answer:
the amount to be used in the numerator is $900,000.
Explanation:
Earnings Per Share = Earnings Attributable to Holders of Common Shares ÷ Weighted Average Number of Common Shares Outstanding.
Diluted Earnings per Share takes into account potential voting rights.
The Preference dividend is <em>not</em> deducted from Net Income as it carries a potential voting right.
