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3 years ago

The declaration and issuance of a stock dividend larger than 25% of the shares previously outstanding

Business

1 answer:

lord [1]3 years ago

4 0

Answer:

b. decreases retained earnings but does not change total stockholders' equity.

Explanation:

a. increases common stock outstanding and increases total stockholders' equity.

FALSE: The Equity does not change as the Retained Earnings are used to issue the Shares, so no change in the total Stockholders Equity

d. increases retained earnings and increase total stockholders' equity.

FALSE: The retained earnings are debited thus, decrease when declaring dividends

c. may increase or decrease paid-in capital above par but do not change total

stockholders' equity.

FALSE: paid in will increase or not be used, as the shares will have a minimum value for the company of his face value.

b. TRUE RE decrease as from there comes to the funds. The total SE does not change it change his composition.

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The ledger of Rios Company contains the following balances after adjustments: Retained Earnings $30,000; Dividends $2,000; Servi

ch4aika [34]

Answer:

Service Revenue 50,000 debit

Income summary 50,000 credit

--to close revenues accounts--

Income summary 34,000 debit

Salaries and Wages Expense 27,000 credit

Supplies Expense 7,000 credit

--to close expenses accounts--

Income summary 2,000 debit

Dividends 2,000 credit

--to close dividends account--

Income summary 14,000 debit

Retained Earnings 14,000 credit

Explanation:

To close the temporary accounts which are, revenues, expenses and dividends we will use an auxiliary account called Income Summary

Then, once all are closed we transfer their balance into retained earnings:

Income summary

DEBIT CREDIT

50,000

34,000

2,000

Balance 14,000

7 0

3 years ago

Give examples of how we do not recognize people as having these rights but make them conditional on success in the marketplace.

Helen [10]

Answer:

Thomas Edison

Explanation:

Thomas Edison early life was very normal. He was born in a poor family. His mother was a school teacher. Thomas Edison did not get recognition until he was successful in inventing the bulb. He did many experiment which failed and no one supported him during this era. He continued his hard work and finally his one of experiment became successful and he invented a bulb. The world then recognized his efforts and made him a hero. His recognition was only based on the success of his experiment and the marketplace.

3 0

2 years ago

According to the concept of comparative advantage, a good should be produced in that nation where?

snow_lady [41]

According to the concept of comparative advantage, a good should be produced in that nation where its domestic opportunity cost is the least.

This is further explained below.

<h3>What does the opportunity cost?</h3>

Generally, Opportunity cost, in microeconomics, refers to the value or advantage foregone by doing one action over another.

To put it another way: if you do one thing, you can't do anything other.

In conclusion, Opportunity cost, in microeconomics, refers to the value or advantage foregone by doing one action over another.

To put it another way: if you do one thing, you can't do anything other.

Read more about opportunity cost

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complete question

According to the concept of comparative advantage, a good should be produced in that nation where:

A) its domestic opportunity cost is greatest.

B) money is used as a medium of exchange.

C) its domestic opportunity cost is least.

D) the terms of trade are maximized.

7 0

1 year ago

The graph shows unemployment rates in the United States in recent years.

S_A_V [24]

The correct answer is C. The United States suffered an economic downturn starting in 2009.

Explanation:

The graph shows the percentage of unemployment in the U.S. from 2006 to 2012. In this, you can see the unemployment rate was between 4% and 5% during 2006, 2007 and 2008; however, after this year the rate suddenly increased. Indeed in 2009, the rate was 6% and in 2010 it was 10%, which is evidently higher than in previous years. This situation suggests there was an economic recession or downturn that began in 2009 and continued during the following years, this explains why the number of unemployed people increased as an economical recession usually leads to fewer jobs. Thus, the most accurate statement is "The United States suffered an economic downturn starting in 2009".

6 0

3 years ago

Suppose that two Japanese companies, Hitachi and Toshiba, are the sole producers (i.e., duopolists) of a microprocessor chip use

Dima020 [189]

Answer: Please refer to Explanation

Explanation:

a) When both Hitachi and Toshiba engage in a limited campaign, they both earn $11 million.

If both engage in an extensive campaign they both earn $8 million.

However, if one firm engages in an extensive campaign and the other firm engages in a limited one, the firm engaging in a limited campaign earns $4 million while the one engaging in an extensive campaign earns $16 million.

I have attached a photo to show the payoff matrix as a table.

b) In the absence of a binding and enforceable agreement, that is to say that if both firms are not colluding, Hitachi's dominant strategy would be to engage in an EXTENSIVE PROMOTIONAL CAMPAIGN.

A Firm's dominant strategy in absence of an agreement is that strategy that a firm can go on and make a maximum amount of profit regardless of what the other firm does.

Should Hitachi engage in an Extensive Campaign, they will make $16 million in quarterly profit if Toshiba engages in a Limited Campaign. Should Toshiba also decide to engage in an Extensive Campaign, then Hitachi makes a profit of $8 million. This is therefore their best alternative as opposed to embarking on a limited Campaign where there is a chance that they will make $4 million.

With the Extensive Campaign, Hitachi's Minimum Payoff is $8 million.

c) The game is the same for both players so the best option for Hitachi, is the best option for Toshiba as well. This means that Toshiba's dominant Strategy is an EXTENSIVE PROMOTIONAL CAMPAIGN and their minimum payoff is $8 million as well.

3 0

2 years ago