Answer:
The amount of cash flow from revenue that will appear on the statement of cash flows is $120,000.
Explanation:
the amount pf cash flow from revenue that will appear on the statement of cash flows is $120,000 because irrespective of whether it is collected or not he must consider the full value of accounts receivable and the collection amount out of the account receivable will be adjusted in the cash flow from operating activities.
Therefore, The amount of cash flow from revenue that will appear on the statement of cash flows is $120,000.
Answer:
The amount of Compensation expense to Year 1 is $153,333.
Explanation:
Stock options granted 92000
X Fair value on date of grant 5
Total compensation expense 460000
Years 3
Compensation expense per year 1 53333
Therefore, The amount of Compensation expense to Year 1 is $153,333.
Answer:
A. Operating income would decrease by $100,000
Explanation:
The computation of the impact on operating income if Carver outsources is shown below:-
Particulars Per unit 3,000 units
Make Buy Make Buy
Direct material 410 1,230,000
Direct labor 110 330,000
Variable manufacturing
overhead 90 270,000
Opportunity cost 20,000
Purchase cost 650 1,950,000
Total cost 1,850,000 1,950,000
Operating income would decrease
= $1,950,000 - $1,850,000
= $10,000
Answer: $28,200
Explanation;
There are 200 vacation days available as at December 31, 2021.
The liability compensated absences will be the amount that M Corp. owes employees should they take those 200 vacation days.
= 200 * 141 per day
= $28,200
Answer:
a. The price of the stock today is $24.75
b. The price of the stock in three years will be $28.65
c. The price of the stock in 14 years will be $49.00
Explanation:
The stock is a constant dividend paying stock so the constant growth model of the DDM will be used to calculate the price of the stock. The formula for constant growth model to calculate price of the stock today is:
P0 = D1 / r - g
Where,
- D1 is the dividend next year of D0 * (1+g)
- r is the required rate of return
- g is the growth rate in dividends
a.
The current price of the stock is:
P0 = 1.65 * (1+0.05) / (0.12 - 0.05)
P0 = $24.75
b.
To calculate the price of the stock today, we use the expected dividend for the next period. To calculate the stock price in three years, we will use D4.
P3 = 1.65 * (1+0.05)^4 / (0.12 - 0.05)
P3 = $28.65
c.
To calculate the price in 14 years, we will use D15.
P14 = 1.65 * (1+0.05)^15 / (0.12 - 0.05)
P14 = $49.00