Answer:$4.44
Explanation:
Net income after tax is $600,00 less 20% =$480,000
Total shares for diluted eps 90,000+18,000= 108,000
Diluted eps= 480,000/108,000
= $4.44
.
Answer: 9.3%
Explanation:
If the company continues to payoff its dividend at current rate, then the price of stock will be:
= Dividend/Rate of return
= 1/5%
= 1/0.05
= 20
Now, when the company isn't expected to pay any dividends for the next two years, the price of stock at the end of year 2 will be:
= Dividend/Rate of return
= 1/5%
= 1/0.05
= 20
Price of stock today will be the present value of p2. This will be:
= 20/(1.05^2)
= 20/1.1025
= 18.14
Loss in value= (20-18.4)/20 × 100
= 1.86/20 × 100
= 9.3%
A collusive agreement between two firms is likely to break down when detection of cheaters is difficult
.
Option D
<u>Explanation:
</u>
Collusion is a secret agreement between two or more parties to suppress open competition by misleading, lying or defrauding others of their rightfulness or achieving a goal prohibited by law that usually is to defraud or gain an unacceptable market advantage.
It is an agreement between companies or individuals that divides a market establishes prices, limits or limits production opportunities. It can include "strike, pay manipulation, kickbacks or the freedom of the relationship between the two parties." All collusion-driven actions are considered null and void legally.
In the USA, Canada collusion is illegal because of antitrust legislation, but implicit collusion even now takes place in the method of price management and tacit agreement.
Example: Google and Apple announced that both firms decided not to hire people to work together to stop wage growth in 2015, a statement against bullying collusion by employees.
Answer:
option C
Explanation:
In simple words, refers t the written statement that depicts the availability of funds in hand for a firm and hope they are gonna use it in future. Every organisation makes a budget so that they can use their resources in the most efficient way.
Budgets are made for the upcoming period but are based on the predictions made by the management and on the basis of past experiences. Thus, budgets should be made flexible and should be distributed to all the stakeholders as the real variable might diverge from the assumed variables. However budget should be in a realistic approach as they work as a major statement for evaluation.
Answer:
Bad Debts Expense 21,550
To Allowance for Doubtful Accounts 21,550
Explanation:
Before passing the adjusting entry, first we have to determine the adjusted amount which is shown below:
= Ending balance of accounts receivable + debit balance of Allowance for Doubtful Accounts
= $21,000 + $550
= $21,550
Now the adjusting entry would be
Bad debt expense A/c Dr $21,550
To Allowance for doubtful debts $21,550
(Being estimated bad debts is recorded)