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lianna [129]
4 years ago
6

"PDQ Corporation has declared a rights offering to stockholders of record. The company has 5,000,000 shares outstanding and is s

elling an additional 1,000,000 shares via the rights offer. Which statements are TRUE regarding a customer who owns 500 shares of PDQ stock?"
Business
1 answer:
Nimfa-mama [501]4 years ago
5 0

Answer: C. II and III

Explanation:

There are 5,000,000 shares of PDQ Corporation as of when they declared the rights offering. This means that every share will get a right to buy stock.

However, as only 1,000,000 shares are being offered per the 5,000,000 shares outstanding it means that one stock may be purchased for every 5 rights.

A customer who owns 500 shares will therefore get 500 rights.

However with one stock up for sale per 5 rights they will receive the opportunity to buy;

= 500/5

= 100 shares

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Andru [333]
<h3>Hello there!</h3>

Your question asks what order does a activity-based costing system work by.

<h3>Answer: b, c, a, d</h3>

The order:

1. b). Identify activities and estimate their total indirect costs.

2. c). Identify the allocation base for each activity and estimate the total quantity of each allocation base.

3. a). Compute the predetermined overhead allocation rate for each activity.

4. d). Allocate indirect costs to the cost object.

The reason why the answer choice "b, c, a, d" is the correct answer because that's the correct order for the activity-based costing system.

The activity-based costing system first identifies the activities that are going on and find the indirect cost, then identifies the allocation base for the activities that are occurring to find the quantity of the allocation base, then solve the pre-determined rate of allocation for each activity, and finally get the indirect cost for the object.

<h3>I hope this helps!</h3><h3>Best regards,</h3><h3>MasterInvestor</h3>
8 0
3 years ago
Assume that Northern Petroleum Inc. issued the following bond on January 1: Face amount: $100,000 Contract interest rate: 12% Ef
Natali [406]

Answer:

d. $44,161

Explanation:

The computation is shown below:

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Omnichannel strategy

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