Answer:
60,000,000
Explanation:
Dye trucking raised $85 million to buy stock
After the recap Dye's stock price is $8.50
Dye share had 70 million share before the recap
Therefore the number of shares present after the recap can be calculated as follows
= 70,000,000-(85,000,000/8.50)
= 70,000,000-10,000,000
= 60,000,000
Hence the number of shares after the recap is 60,000,000
Answer:
$25,000 will be an ordinary income(FMV)
Explanation:
Kate received an offer of unrestricted partnership capital interest for the expertise services. so, Kate recognizes it's an "ordinary income"which should be booked at the fair market value of the partnership interest so offered.
i.e $25,000 is ordinary income (FMV)
For the answer to the question above,
we must use this formula,
(New - Old)/ (Ave. of New and Old)
In this case,
501k -500k/(500,500(which is the ave. of the two.
Then it would be 1k/500,500
Then the answer would be .0020
Then
-1.439.5/439.5 because this is the average of the two.
so the answer would be .0023
Then finally divide the rate on change of quantity by the rate of change in price which is
0.002/-0.0023
Then the answer would be -.87
So the elasticity on the demand of model T is .87 ( remove the negative because elasticity is always positive.)
