Answer:
The company’s inventory be reported on the balance sheet as $3,150.
Explanation:
GAAP and IFRS requires that the inventory of the company should be recorded as Lower cost and Net realizable value of the inventory.
According to given data
Available Inventory = 210 units
Cost of Inventory = 210 units x $20 = $4,200
Net realizable value is the value of the inventory which can be recovered on the immediate sale. the current market value of the inventory is $15.
So,
Net realizable value is = 2,100 units x $15 = $3,150
As the Net realizable value is lower than the cost of the inventory, $3,150 should be reported as inventory on the balance sheet.
Answer:
market price of bonds = $219,597.35
Explanation:
Since the coupon rate is higher than the market rate, the bonds will be sold at a premium.
PV of face value = $200,000 / (1 + 3%)³⁰ = $82,397.35
PV of coupon payments = $7,000 x 19.600 (PV annuity factor, 3%, 30 periods) = $137,200
market price of bonds = $219,597.35
Answer:
A) $474,000
Explanation:
Since Balsco's balance sheet shows total assets of $238,000 and total liabilities of $107,000, it means that equity should be $131,000.
The current price of Balsco's stock is $11 per share and total shares outstanding are 55,000, which results in a total market value of $605,000. If you subtract total equity from the total market value = $605,000 - $131,000 = $474,000
Answer:
the demand curve is a graphical representation depicting the relationship between a commodity different price levels and quantities which consumer and willing to buy it is derived from a demand schedule which is the stability of the price and quantity pure that comprise the
Answer:
Digital Fruit
The expected market price of the common stock after the announcement is:
$20 per share.
Explanation:
Outstanding number of shares = 40 million
Market price of outstanding shares = $20 a share
Total market capitalization = $800 million
Debts introduced = $310 million
Market capitalization after the debt issue = $490 million ($800 - 310 million)
Number of shares bought back = $310 million /$20 = 15,500,000
Outstanding number of shares after the buy-back = 40 million minus 15.5 million
= 24,500,000 shares
Expected market price of the common stock after the announcement
= $490,000,000/24,500,000
= $20 per share
