Answer:
$
Market value of common stocks (6,000 x $25) = 150,000
Market value of preferred stocks (9,000 x $20) = 180,000
Market value of the company 330,000
Proceeds allocated to common stocks
= $150,000/$330,000 x $312,000
= $141,818
The correct answer is B
Explanation:
The market value of the company is the aggregate of market value of common stocks and market value of preferred stocks.The market value of each stock is equal to number of each stock outstanding multiplied by market price per share. Thus, the proceeds allocated to common stock equals the market value of equity divided by market value of the company multiplied by the lump sum.
Answer:
debit to Sales allowance of $50
Explanation:
When some defect in a product is revealed or notified by the buyer, the seller usually grants the customer an allowance which is termed as sales allowance.
It is usually allowed when the customer agrees to keep the product instead of returning the defective product which would constitute sales returns.
Following journal entry is recorded for recording sales allowance
Sales Allowance A/C Dr. $ 50
To Accounts Receivable $50
(Being allowance for defects recorded)
Sales allowance is deducted from gross sales before the customer makes payment.
Incomplete question. I answered from a general economic standpoint.
Answer:
<u>stay the same; decrease</u>
Explanation:
<em>Remember</em>, in this scenario, it wasn't as though the mentioned workers lost their jobs, they only had their hours reduced by their employers; so they are not <u>unemployed</u>. This, therefore, implies that the unemployment rate will stay the same.
The labor force participation rate in simple words refers to the percentage of those who are currently employed or looking for a job within an economy. If the working hours are reduced, it may diminish the zeal among the workforce of an economy to work or find work because <u>they may perceive they''ll earn less.</u>