Came up with an idea, does the company i work for own it?

Earnings per share: Select one: a. Will always be lower than the dividend paid per share b. Will always be higher than the divid

Svetlanka [38]

Answer:

b. Will always be higher than the dividend paid per share

Explanation:

A firm pays dividend to it's stockholders based upon it's earnings.

Earnings per share (EPS) is expressed as:

= $\frac{Earnings\ available\ to\ stockholders}{No.\ of\ stocks\ outstanding}$

Dividend payout ratio on the other hand is expressed as:

= EPS (1 - b)

wherein, b = retention ratio which denotes the percentage of earnings retained by a firm i.e not distributed as dividends.

Thus, a firm's earnings per share would always be higher than the dividend paid by it per share.

7 0

2 years ago

In 2013, there are four open flute positions in major orchestras. A total of 525 professional flutists audition. In the same yea

love history [14]

The best and most correct answer among the choices provided by your question is the second choice.

The differences of their salaries is that t<span>he bassoonists earn a higher salary than the flutists.</span>

I hope my answer has come to your help. Thank you for posting your question here in Brainly. We hope to answer more of your questions and inquiries soon. Have a nice day ahead!

3 0

3 years ago

Read 2 more answers

Suppose the Federal Reserve announces that it will be making a change to a key interest rate to increase the money supply. This

lubasha [3.4K]

Answer:

Correct option is B

The Federal Reserve is worried about unemployment

Explanation:

We know from phillips curve, there is a backwards connection between swelling rate and joblessness rate. Hence joblessness rate can be diminished by expanding expansion which should be possible by expanding cash supply.

Or then again an expansion in cash supply will diminish loan fee prompting increment in venture and subsequently increasingly capital development, because of which more work is required and therefore joblessness diminishes.

4 0

3 years ago

What are six basic activities of business

Paraphin [41]

<span>Budgeting ...Accounting. ...Marketing. ...Sales. ...Hiring Employees. ...Customer Service. Maybe!</span>

7 0

3 years ago

Read 2 more answers

Infinity Corporation purchased equipment with a 10-year useful life and zero residual value for $10,000. At the end of the fifth

sesenic [268]

Answer:

a capital gain of $1,000.

Explanation:

Given,

The cost price of Equipment = $10,000

Useful life of the equipment = 10 years

Residual value = $0

Depreciation (Straight-line method) = Cost price/useful life

Depreciation (Straight-line method) = $10,000/10 = $1,000

Since, it is a straight line method, the depreciation will remain same each year. Therefore, at the end of the fifth year, the depreciation of equipment = $1,000 x 5 = $5,000

At the end of the fifth year,

The book value of the equipment= Equipment - Accumulate depreciation= $(10,000 - 5,000) = $5,000

If the company sales the equipment after the end of the fifth year,

there will be a capital gain.

Capital Gain of equipment = Sales price of equipment - book value of equipment

Capital Gain of equipment = $6,000 - 5,000 = $1,000. The journal entry will be -

Cash/Bank Debit $6,000

Accumulated Depreciation Debit $5,000

Gain on sale of equipment Credit $1,000

Equipment Credit $10,000

5 0

3 years ago