Answer:
A) Cash (debit) 180,000; Common stock (credit) 150,000; Additional paid-up capital-common stock (credit) 30,000 - Debit - Credit = 0
B) Cash (debit) 255,000; Preferred stock (credit) 250,000; Additional paid-up capital-preferred stock (credit) 5,000 - Debit - Credit = 0
C) Cash (debit) 900,000; Common stock (credit) 600,000; Additional paid-up capital-common stock (credit) 300,000 - Debit - Credit = 0
Explanation:
In Eastport Inc.´s case all 3 situations are similar, shares (Stockholders´Equity) increased, so credits in 4 accounts, according to the type of shares that are issued, must be registered: Common stock, Preferred stock, Additional paid-up capital-common stock, Additional paid-up capital- preferred stock. We will recognize the par value and stated value of the shares and the difference between this and the price paid by shareholders will be recognized as additional paid-up capital. Also, cash (Asset) is received as payment for the shares so a debit must be registered in the account Cash.
Answer:
market forces are much stronger than individual firms are
Explanation:
In a competitive market, firms are price takers. They do not set the price for their products. Prices are set by market forces.
Answer:
Option C
Explanation:
In simple words, Frictional joblessness relates to one form of joblessness. It is often referred to as quest displacement, and may be dependent on specific instances.
When an employee applies for a position or moves from one workplace to another and it is time wasted among jobs. In the market, frictional displacement is still present, the product of intermittent changes made by employees and companies.
If the exchange rate for mexican pesos has changed from 10 pesos to 9 pesos per dollar, The value of the Peso has increased.
This current situation meant in order to obtain the same amount of Peso, US dollar's holders need to sacrifice more amount of US dollar. This indicates either Mexican's economy is improving or United States economy is deteriorating.
Answer:
C) No, because the project's rate of return is 16.45 percent
Explanation:
Year 0: CF = -132.,000
Year 1: CF = 97,000
Year 2: CF = 42,000
Year 3: CF = 28,000
using an excel spreadsheet we can calculate the project's IRR = 16.45%
the company established as a rule that it will only accept projects whose IRR is higher than 17%, but since this project's IRR is lower (16.45%), then it should be rejected.
