An accounting report that shows the changes in capital during the accounting period is a

Sonny Corporation has a simple capital structure of 100,000 shares of $1 par common stock and 20,000 shares of 5 percent preferr

olga_2 [115]

Answer:

$5 per share

Explanation:

The formula and computation of the earning per share are shown below:

= (Net income - preference dividend) ÷ (Outstanding Number of shares)

= ($550,000 - $50,000) ÷ (100,000 shares)

= ($500,000) ÷ (100,000 shares)

= $5 per share

We do not consider the common stock dividend and the preference share outstanding because this is not relevant for the computation part.

3 0

3 years ago

The condensed product-line income statement for Dish N' Dat Company for the month of March is as follows:

gladu [14]

Answer:

It will generate a financial disadvantage for 44,065 dollar to discontinued the cup division. This division generates a positive contribution which, if discontinued will not help to absorp the common fixed cost fo the firm and move the burden entirely to Bowls Plates division making the profit to decrease.

Explanation:

$\left[\begin{array}{cccc}&$Continued&$Discontinued&$Differential\\$sales&105700&0&(105700)\\$variable cost&-61635&0&61635\\$contribution&44065&0&(44065)\\$fixed cost&-23465&-23465&0\\$Result&20600&-23465&(44065)\\\end{array}\right]$

Fixed cost:

42,300 x 15% + 42,800 x 40% = 23,465

Variable cost:

42,300 x (1 - 15%) + 42,800 x (1 - 40%) = 61,635

The differencial will be discontinued less continued column

If the result is positive there is a cost saving if discontinued

if negative there is a loss in contribution if discontinued

4 0

2 years ago

What is the elastic clause and how does it help the constitution remain relevant?

AnnyKZ [126]

The elastic clause is a section of the constitution of the United States of America that grants Congress the authority and power to pass all laws that are needed to carry out the enumerated list of powers. The elastic clause can be found in article 1, section 8 of the Constitution. This law basically grants congress the power to pass the laws necessary for it to carry out its own functions. <span />

7 0

3 years ago

Rocket Shoe Company is planning a one-month campaign for August to promote sales of one of its two shoe products. A total of $11

Kamila [148]

Answer:

Contribution Margin from proposal

Cross Trainer Shoes $360,000

Running Shoe $340,000

Explanation:

Preparation of differential analysis for Rocket Shoe Company

DIFFERENTIAL ANALYSIS

Cross Trainer Shoes Running Shoe

Differential Revenue 984,000 900,000

Differential costs:

Direct Material (192,000) (200,000)

Direct labor (72,000) (60,000)

Variable factory overhead (48,000) (60,000)

Variable selling expense (312,000) (240,000)

Differential cost (624,000) (560,000)

Contribution Margin from proposal 360,000 340,000

Differential Revenue

Cross Trainer Shoes(41*24,000)=$984,000

Running Shoe(45*20,000) =$900,000

Differential costs:

Direct Material

Cross Trainer Shoes (8*24,000)=192,000

Running Shoe(10*20,000)=200,000

Direct labor

Cross Trainer Shoes (3*24,000)=72,000

Running Shoe(3*20,000)=60,000

Variable factory overhead

Cross Trainer Shoes (2*24,000)=48,000

Running Shoe(3*20,000)=60,000

Variable selling expense

Cross Trainer Shoes (13*24,000)=312,000

Running Shoe(12*20,000)=240,000

Differential cost is the addition of direct materials +direct labor + Variable factory overhead+Variable selling expense

Contribution Margin from proposal

Cross Trainer Shoes 984,000-624,000=360,000

Running Shoe 900,000-560,000=340,000

Since Cross trainer shoes had $360,000 this means that cross trainer shoes would contribute more than Running shoe which had $340,000 because Cross trainer shoes contribution margin is higher.

6 0

2 years ago

Communication that builds and maintains favorable relationships by informing and persuading one or more audiences to view an org

notsponge [240]

Answer: Promotion

Explanation:

The promotion is one of the important business strategy that helps in spread the awareness among the customers or users about the various types of brands and products by an organization.

The main objective of a promotion is to communication with the consumers so that they can aware about the various types of new brands and the product in the market as it helps in increase the probability of the business.

According to the given question, the communication helps in maintaining the relationship with the customers and the audience in an organization that helps in accept the products positively. Therefore, promotion is the correct answer.

5 0

3 years ago