Question Completion:
On December 31, 2014, Renda's common stock sold for $35 per share. At that price, how much did investors say $1 of the company's net income was worth? Earnings per share = $1.50
Answer:
Renda Company
The value of $1 of the company's net income by investors was:
$23.33
Explanation:
a) Data and Calculations:
Market price of Renda's common stock = $35 per share
Earnings per share = $1.50
This means that investors' value on $1 = $35/$1.50 = $23.33
b) Investors in Renda's common stock place a value of $23.33 for each $1 of the company's net income. This is why they can afford to pay $35 per share in order to benefit from $1 of the company's earnings. This calculation is based on the price-earnings ratio, which relates the company's share price to the earnings per share.
The income tax consequences to William on the sale is that he realizes loss in the amount of $10,000 but does not recognize that loss.
Realized loss = Purchase cost - Sales cost
Realized loss = $40,000 - $30,000
Realized loss = $10,000
Hence, the income tax consequences to William on the sale is that he realizes loss in the amount of $10,000 but does not recognize that loss.
Therefore, the Option A is correct.
Missing options includes <em>"William realizes and recognizes loss in the amount of $10,000. William realizes and recognizes zero gain or loss. William realizes loss in the amount of $10,000 but does not recognize that loss. None of the above."</em>
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Read more about income tax
<em>brainly.com/question/1657264</em>
The characteristics is its divisibility: money can be divided into smaller parts and the sum of those parts has the same value as the original money. Here we see that different people have the same amount of money in different forms.
Other characteristics of money are its durability, transportability and the resistance to being faked.
Answer:
The correct answer is c,alienating local suppliers
Explanation:
The presence of strong negotiator who is an expert in the field of sourcing is an advantage inherent in centralized purchasing,hence option A is not correct.
Cost and quality control implies that sourcing in large quantity gives the buyer entity a strong bargaining power and it is able to procure at the lowest price possible.Whereas,the control relates to the goods been received at central location before being dispatched to the department requiring it,implies that all items can be properly checked and confirmed fit for purpose.As result option is wrong as well.
The only odd option is C,as centralized purchasing is not aimed at alienating local suppliers since it is not global sourcing
