Answer:
$140,420
Explanation:
The demand function is q = -720p + 20,500.
The price is $17
q = -720 ($17) + 20500 = 8260
The quantity sold is 8260
Revenue = price × quantity sold
= $17 × 8260 = $140,420
Answer:
$69,000
Explanation:
Percentage of shares owned by ABC in Teal's company = 30%
This is an example of equity method investment , and a portion of the attributable income at the end of the year is earned and added to the initial stock.
Attributable income is the remaining income after dividends have been settled.
<u>Workings</u>
The opening carrying value of the shares on ABC balance sheet = 60,000
Profit made at the end of the period = 40,000
Dividends paid = 10,000
Attributable income to share holders = 40000-10000 = 30,000
ABC portion of attributable profit = 30000*30% = 9,000
Carrying value at the end of the year = opening carrying value + portion of the attributable profit
=60000+9000=69000
Answer: True
Explanation:
The Statement of Cash flows is prepared to show the cash transactions of a company and only cash. The effect of anything non cash is not shown.
Depreciation is a non-cash expense which means that it reduces the net income without actually reducing the cash to the company. It would therefore be added back to the cash balance of the company so as to reflect that it did not reduce cash. The addition will be in the operating activities of the Statement of Cashflows.
Answer:
The correct answer is option D.
Explanation:
An interest rate is an amount charged by a lender on the use of assets. It is expressed as a percentage of the principal. The interest rate is the return on lending for a lender and the cost of borrowing for the borrower.
Interest is typically paid on a loan to compensate for the opportunity cost of lending money. A lender could invest the money instead of lending and get a higher return from it.
To compensate for not using the money for an alternative purpose or for temporarily making do without the money that was lent, the borrower pays a certain percentage of principal to the lender.
