A partnership is a business owned by two or more people <br> a. True <br> b. False

Oxford Company has limited funds available for investment and must ration the funds among four competing projects. Selected info

ddd [48]

Answer: Please refer to Explanation,

Explanation:

1. The Profitability Index is a ratio analysis instrument that measures the amount of payoff per Investment. It is calculated with the following simple formula,

= Net Present Value / Investment Required.

Project A

= 473,750/ 860,000

= 0.55

Project B

= 354,930/ 675,000

= 0.53

Project C

= 170,895 / 560,000

= 0.31

Project D

= 169,190 / 760,000

= 0.22

2. - According to Net Present Value

a. Project A

b. Project B

c. Project C

d. Project D

- According to Project Profitability Index

a. Project A

b. Project B

c. Project C

d. Project D

- According to Internal Rate of Return

a. Project A

b. Project D

c. Project B

d. Project C.

4 0

2 years ago

Which one of the following is the most likely reason why a stock price might not react at all on the day that new information re

Vaselesa [24]

Answer:The information was expected is the most likely reason why a stock price might not react at all on the day that new information related to the stock’s issuer is released. Assuming the market is semi strong form efficient.

<u>Explanation:</u>

The major reason that the stock price might not react to the information related to that stock was the expectancy of information in advance. It was a piece of expected information. When something is expected then our response towards it does not bring much change.

Similarly, when it is already expected to get some information related to the stock, on receiving that information the stock price does not react. It means it might neither fall nor rise.

5 0

2 years ago

A calendar year corp. has substantial accumulated E&P, but it expects to incur a deficit in current E&P for the year due

Vadim26 [7]

Answer:

The statement is inaccurate.

Explanation:

Comment on the validity of this statement. LO 3 (p. 19-9).

The statement is inaccurate. When a deficit exists in current E & P and a positive balance exists in accumulated E & P, the accounts are netted at the date of distribution. If a positive balance results, the distribution is a divide to the extent of the balance. Any loss in current E & P is deemed to accrue ratably throughout the year unless the parties can show otherwise.

4 0

3 years ago

1. Cullumber Cosmetics acquired 13% of the 301,200 shares of common stock of Elite Fashion at a total cost of $14 per share on M

Helen [10]

Answer:

1. 18-Mar

Dr Available for Sale Securities $548,184

Cr Cash $548,184

30-Jun

Dr Cash $9,113

Cr Dividend Revenue $9,113

31-Dec

Dr Securities Fair Value Adjustment $39,156

Cr Unrealized Holding Gain $39,156

2.1-Jan

Dr Investmeht in Nadal Corp. $81,750

Cr Cash $81,750

15-Jun

Dr Cash $7,900

Cr Investment in Nadal Corp. $7,900

31-Dec

Dr Investment in Nadal $29,000

Cr Revenue from Investment in Sub $29,000

Explanation:

1.Preparation of all the necessary journal entries for 2019

18-Mar

Dr Available for Sale Securities $548,184

Cr Cash $548,184

(13%*301,200*$14)

(To purchase 10% of Ramirez Fashion)

30-Jun

Dr Cash $9,113

Cr Dividend Revenue $9,113

(13%$70,100)

(To record a 13% dividend revenue $70,100)

31-Dec

Dr Securities Fair Value Adjustment $39,156

Cr Unrealized Holding Gain $39,156

[($15-$14)*13%*301,200]

(To adjust securities to FMV in an Equity account)

2.1-Jan

Dr Investmeht in Nadal Corp. $81,750

Cr Cash $81,750

(25%*32,700*$10)

(To purchase 25% of Nadal Corp.)

15-Jun

Dr Cash $7,900

Cr Investment in Nadal Corp. $7,900

(25%$31,600)

(To record cash dividend of $31,600)

31-Dec

Dr Investment in Nadal $29,000

Cr Revenue from Investment in Sub $29,000

(25%*$116,000)

(To record 25% revenue of $116,000 from Nada)

7 0

2 years ago

what does it mean when you have demand for a good or service a.you can afford the good but may be unwilling to buy it. b.you wan

Nonamiya [84]

D. You are willing and able to buy the good at the given price

8 0

3 years ago

A partnership is a business owned by two or more people a. True b. False