Answer:
Dividend yield is 4.79%
Cost of equity is 11.64%
Explanation:
The dividend yield on Krell Industries share price is the dividend of $1.09 divided by the price of the share today of $22.77
dividend yield=$1.09/$22.77=4.79%
The equity cost of capital can be calculated from the share price formula given below by changing the subject of the formula to cost of equity,r.
stock price=Do*(1+g)/r-g
Do is the dividend paid this year of $1.09
g is the dividend growth of dividend which is computed thus:
g=share price at end of the year-share price now/share price now
g=($24.33-$22.77)/$22.77=6.85%
r is the unknown
stock price is $24.33
24.33=1.09*(1+6.85%)/(r-6.85%)
24.33=1.164665
/r-6.85%
r=(1.164665
/24.33)+6.85%
r=11.64%
Based on the BB10 smartphone being written down by $1,700,000, the journal entry would involve debiting Cost of goods sold and crediting Inventory.
<h3>Why would the above be done?</h3>
The question seeks the journal entry of the above write down. The inventory will be written down by $1,700,000 and this will be charged to the Cost of goods sold.
The journal entry is:
Date Account title Debit Credit
2014 Cost of goods sold $1,700,000
Inventory $1,700,000
Find out more on writing down inventory at brainly.com/question/5771882.
Answer: b) $81.250.
Explanation:
Cook Net income was $250,000 in 2022.
In the first quarter of 2022 (Jan to March), Mehan owned 40% of Cook as they had purchased 15% and then 25%.
Share of net income is:
= 250,000 * 40% * 3/12 months
= $25,000
In the remaining months, they owned 30% of Cook because the 10,000 shares sold were 10% of equity as 15,000 shares are 15%.
Their share of net income would be:
= 250,000 * 30% * 9/12 months
= $56,250
Total income recognized:
= 25,000 + 56,250
= $81,250
