Cost of Equity as per CAPM = rf +beta*(rm-rf)
rf = risk free rate = 2.5%
beta =1.12
rm-rf = market risk premium = 6.8%
Cost of equity = 2.5+ 1.12*6.8 = 10.116% = 10.12%
A public good is an example of a good or product that individuals can consume or use without reducing its total availability for others. Goods like national security, sewer systems, public parks, among others, are considered as public goods. Many can benefit from it and it is considered by economists as goods that are "non-rivalrous" or "non-exclusive." <span>
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Answer: $2650
Explanation:
Using the specific identification method, its ending inventory (after the December 24 sale) will be:
Units for sale = 5 units
Units sold = 1
It should be noted that the unit that was sold was the one that was bought on July 9th.
Ending units will now be:
= $800 + ($2 × $900) + $950 - $900
= $800 + $1800 + $950 - $900
= $3550 - $900
= $2650
Answer:
$1,329,600
Explanation:
Calculation for the amount that Matsui would report in its year-end 2021 balance sheet for its investment in Yankee
First step is to find the Percentage of shares acquired
Percentage of shares acquired = 48,000 / 240,000 = 20%
Last step is to find the Balance sheet Amount to be reported
Using this formula
Investment = Cost + 20% of Net income - 20% of dividends declared
Let plug in the formula
Investment=$1,296,000 + (20% x $240,000) - (20% x $72,000 )
Investment=$1,296,000+$48,000-$14,400
Investment=$1,329,600
Therefore the amount that Matsui would report in its year-end 2021 balance sheet for its investment in Yankee will be $1,329,600
Answer:
$25,000
Explanation:
The value of inventory at the end of the end of the period will be equal to
Value of inventory = Cost of goods sent less the cost of goods already sold.
<em>Remember the arrangement is that of agency, hence the goods are not deemed to be sold except the agent has been able to exchange them for revenue in a sales contract with his own buyers.</em>
Also the sales commission would be reported under a separated ledger which will be reported as part of the operating expenses.
Amount of inventory = $105,000 - $80,000
= $25,000
