Net Income flows from the income statement to the statement of retained earnings.
The balance sheet is balanced when net income from the income statement, less any dividends paid, is transferred to the retained earnings column. Additional connections- Long-term debt on the balance sheet is used to determine interest expenditure on the income statement.
Net income: In commerce, Net Income is the amount of cash left over on balance costs, like salaries and wages, the value of commodities or raw materials, and taxes, are paid. Net Profit is the amount that an individual keeps after paying taxes, insurance premiums, and retirement contributions.
Net Income.
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Answer: less, less
Explanation: considering the relationship that exist between the price level and the quantity of money that people demand. The lower the price level, the less money the typical transaction requires, and the less money people will wish to hold in the form of currency or demand deposits.
Last semester, Brita bought her textbooks over the Internet and saved a considerable amount of money. Classes start in a few days, and she needs to decide right away how and where to purchase her books. Brita will most likely engage in "limited problem solving" process.
<h3>What is limited problem solving process?</h3>
Limited issue solving is another sort of consumer problem-solving that consumers employ when they need information about unknown brands in well-known product categories or when they make sporadic purchases of goods; it takes a fair amount of time for information collecting and consideration.
The characteristics of limit solving process are-
- Limited issue solving is employed when consumers seek information about a new brand within a well-known product category or when they occasionally purchase products.
- When buying a new, expensive, or infrequently purchased goods, consumers engage in lengthy problem solving.
- Possibly when you need to find out information about an unusual brand in a well-known product area, takes a fair amount of time to gather information.
- Clothing is one example where it is known the product class but not the brand.
Therefore, in the given case- Brita lacks the time to thoroughly consider all of his alternatives. Additionally, he will likely follow suit this time around given his recent success purchasing books online (unless he waited too long and cannot receive his books in time).
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Answer:
B) The coupon rate could be less than, equal to, or greater than 6%, depending on the specific terms set, but in the real world the convertible feature would probably cause the coupon rate to be less than 6%.
Explanation:
Amram Inc. is issuing two bonds, one is not convertible and the other one is convertible and callable. Regardless of the coupon rate that they plan to set, convertible and callable bonds will usually (almost always) have a coupon rate that is lower than non-convertible or non-callable bonds.
Convertible bonds are bonds that can be converted or exchanged to common stock. Since convertible bonds offer more investment options, their risk is lower than non-convertible bonds.
Callable bonds is a bond that can be redeemed before the maturity date.
Answer:
C) Debt increases by more than cash dividends paid
Explanation:
Based on the information given the statements that is more likely based on the below calculation will be : DEBT INCREASES BY MORE THAN CASH DIVIDENDS PAID reason been that the NET INCREASE IN THE CASH from financing activities was the amount of $4,500
Net Increase In The Cash from financing activities = $5000 - $1000 + $500
Net Increase In The Cash from financing activities= $4500
