Answer: $74100
Explanation:
Based on the information given, the amount of cash expected to be collected in October will be calculated thus:
October, credit sales will be:
= 60% x $247000
= $148200
Since the amount that'll be collected in October will be 50% of the credit sales. This will be:
= 50% × $148200
= $74100
Answer:
The answer is False
Explanation:
Since the 70 percent of preferred dividends received by a company is excluded from taxable income, the component cost of equity for a corporation which pays half of its revenue out as a common dividends and half as preferred dividends should ,technically be.
Monopoly. A good way to remember this is that "mono" means "one" so, they are always #1 when it comes to market power.
Answer:
Payne should exclude Salem's January 1, Year 1, Retained Earnings and income for January 1 to September 30 from consolidated Retained Earnings and consolidated income
Explanation:
The Retained Earnings of Salem on January 1, Year 1 and and its income during the period between January 1 and September 30 would not be included in the Year 1 consolidated financial statements.
The reason is that The Retained Earnings of Salem on January 1, Year 1 and and its income during the period between January 1 and September 30 are part of the equity of the shareholders that that Payne acquired on September 30, Year 1. They would then be eliminated in the eliminating entry of the consolidating investment.
Answer:
$24.59 or $24.6 or $25
Explanation:
Value of the share is the present value of dividend associated with that share. We need to calculate the present value of each dividend at year 2 and add them to determine the value of the share.
As given there is no dividend for 3 years,next dividend of $2.4 dividend will be discounted for two years and $3 dividend for three years. After that we need to calculate the present value using DVM and discount this value for 4 years.
Value of Stock = [ $2.4 (1+14%)^-2 ] + [ $3 (1+14%)^-3 ] + [ $3(1+5%) / (14%-5%) ] x (1+14%)^-4
Value of Stock = $1.85 + $2.02 + $20.72 = $24.59
