Answer:
Explanation:
The journal entry is shown below:
Factory Overhead A/c Dr $25,000
To Wages Payable A/c $25,000
(Being actual overhead cost is recorded)
For recording this transaction, we debited the factory overhead account and credited the wages payable account so that the correct posting can be done.
All other information which is given is not relevant. Hence, ignored it
Answer: $32.70
Explanation:
According to the dividend discount model, the value of the stock today is the present value of the dividends to be paid plus the present value of the value of the dividend from when the company starts maintaining a stable growth rate which in this question in year 2.
= (Year 1 Dividend / ( 1 + r)) + (Year 2 Dividend / ( 1 + r)²) + (value at year 2 / ( r - g))
Value at year 2 = Year 3 dividend / ( required return - growth rate)
= ( Year 2 dividend * (1 + g)) / ( required return - growth rate)
= (2.46* ( 1 + 0.039)) / ( 0.113 - 0.039)
= $34.54
Value today = (Year 1 Dividend / ( 1 + r)) + (Year 2 Dividend / ( 1 + r)²) + (value at year 2 / ( r - g))
= 3.15/1.113 + 2.46/1.113² + 34.54/1.113²
= 2.83 + 1.99 + 27.88
= $32.70
Answer:
Estes must adjust the Securities Fair Value Adjustment account (which is a contra asset account) by debiting $17,500 (= $475,000 - $492,500). Since the investment in trading securities is considered an asset but it had lost value, an unrealized loss of $25,000 was reported in its 2017 balance. Since the investment's value has increased, the unrealized loss has to decrease. This is done by crediting an unrealized gain of $17,500 in the Unrealized Gains account (equity account).
Answer:
I don't understand what you wrote
Explanation:
please reply sir
Answer: C. Additional Paid-in Capital -Common $4.720,000.
Explanation:
Based on the information given in the question, the journal entry to record the stock dividend would go thus:
Debit: Retained earnings = 80000 × $60 = $4,800,000
Credit: Common stock = 80000 × $1 = $80000
Credit: Additional paid in capital- Common stock = 80,000 × $59 = $4,720,000
(To record share dividend)
Therefore, the journal entry to record the stock dividend would include a credit to Additional Paid-in Capital -Common $4.720,000
