Answer:
a corporation make money from stocks at the IPO. Initial Public Offering.
Explanation:
A corporation only makes money out of a stick when it is Issued for the first time. This operation is called IPO and it’s the primary market for a stock in the exchange market.
After the stock is sold to an investor the stock goes into the secondary market, In the secondary market the people that make a profit out of the sale of a stock are the stockholders but not the corporation.
Answer: A purchase of supplies for cash is recorded in the cash payments journal.
Answer: a. $31.5 ; b. $45.
Explanation:
A. What price should the stock sell at? The discount rate is 15%.
The dividend for the first year will be:
= $3 × (100% + 5%)
= $3 × 105%
= $3 × 1.05
= $3.15
Since Price = D1/Ke - g
Price = 3.15/0.15 - 0.05
Price = 3.15/0.10
Price = $31.5
B. How would your answer change if the discount rate was only 12%?
Price = D1/Ke - g
Price = 3.15/(0.12 - 0.05)
= 3.15/0.07
= $45
The answer changed because the discount rate has been reduced which led to the increase in the answer.
Answer:
27.79%; $191,840
Explanation:
Given that,
Net sales = $763,000
Cost of goods sold = $551,000
Net Income = $20,160
Gross Profit
:
= Net sales - Cost of goods sold
= $763,000 - $551,000
= $212,000
Gross margin
:
= Gross Profit ÷ Net sales
= $212,000 ÷ $763,000
= 0.2779 or 27.79%
The operating expenses can be modeled with:
Net Income = Revenues - Expenses - COGS
$20,160 = $763,000 - Expenses - $551,000
Expenses = $191,840
Answer:
Sustainability
Explanation:
Sustainability can simply be defined as the meeting of present needs while also making room to meet future needs as well. On another hand, sustainability can be defined as the provision of current needs without jeopardizing provision for future needs.
Sustainability aims to look at the provision or meeting of needs or obligations at present and future times, making sure that none affects the other.
Sustainability is important in any business as it the key to any business standing the test of time and becoming reputable. Also, sustainability heps a business to attract employees and customers alike, it improves the business reputation as well as maintain the joy of shareholders among other things.
Cheers
