Answer:
Missing word <em>"Because the stock will be sold directly to an investor, there is no spread; the other flotation costs are insignificant"</em>
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Fair Price is based on the current valuation of business and that is $840,000 in this case.
Fair Price = Current Value of Business/Number of Outstanding Shares
Fair Price = $840,000 / 37,000 shares
Fair Price = 22.7027027
Fair Price = $22.70.
Number of Additional Shares = Additional Funding Required/Fair Price Per Share =
Number of Additional Shares = $210,000 / $22.70
Number of Additional Shares = 9251.101321585903
Number of Additional Shares = 9251 shares
So, since additional funding of $210,000 is required, Benjamin will have to sell 9,251 shares as additional shares to the Angel.
Answer:
27.14 months
Explanation:
to calculate how long it will take to pay the loan, we can use an excel spreadsheet and the NPER function:
=NPER(rate,payment,-loan)
- payment = 630
- rate = 1.03
- loan balance = 14,850
=NPER(1.03%,630,14850) = 27.14 months
Answer:
Par value of common stock = $10 per share.
Explanation:
Provided information we have the following:
3% Preferred stock = $200 par 600 shares outstanding = $120,000
Common stock = shares outstanding = 77,000
$231,000 = Paid in capital
$770,000 Par Common stock
Thus, Common stock par value = $770,000/77,000 = $10 per share.
Note: when the information about equity or preference capital is placed in balance sheet only outstanding and treasury shares are considered, authorized capital is not considered, as that represents the maximum number of shares a company can issue.
Thus, par value of common stock = $10 per share.
Answer:
D. workers who have stopped looking for work because they believe there are no jobs for them.
Explanation:
A discouraged worker is a person that is not looking for a job because he/she has not been able to find one but that wants to work. This people is not considered as active in the labor force because they are not looking for a job as they think that there aren't jobs or that they won't qualify for them.
Bob gets paid 8*40= $320 a week - $63.08 = $256.92 - $33.21 = $223.71 - $42.05 = $181.66. Therefore Bob's net pay on his paycheck is $181.66.