Answer: The number of shares outstanding is approximately 170702.32 shares.
We have :
EPS $0.43
Net Income $73,402
The formula for computing EPS is
Substituting the values from the question in the formula above we get,
Answer:
The second option is the cheapest.
Explanation:
Giving the following information:
The first company offers free installation and equipment, but will charge you $401.00 per year forever. The second company charges $783.00 for installation, but will charge you $204.00 per year forever. Assume that payments are at the END of the year. Your personal interest rate is 5.00% per year
To calculate the present value, we need to use the formula for a perpetual annuity:
PV= Cf/i
Cf= cash flow
i= interest rate
Option 1:
PV= 401/0.05= $8,020
Option 2:
PV= 204/0.05 + 783/1.05= $4,825.71
The second option is the cheapest.
Answer:
Explanation:
Comparative income statements for Williamson is presented below:
Particulars 2017 2016 2015
Income before income tax $180,000 $145,000 $170,000
Less:Income tax $54,000 $43,500 $51,000
Net income $126,000 $101,500 $119,000
The income tax is computed below:
For 2017
= $180,000 × 30%
= $54,000
For 2016
= $145,000 × 30%
= $43,500
For 2015
= $170,000 × 30%
= $51,000
Answer:
$700 (not given in the options)
Explanation:
When the policy is purchased with a payment made in advance, the entries recorded are
Debit prepaid insurance $8,400
Credit Cash account $8,400
After the first month, the expense incurred is
= 1/12 × $8,400
= $700
Entries then required
Debit Insurance expense $700
Credit Prepaid Insurance $700
Answer: a.)maximizes the minimum return.
Explanation:
