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3 years ago

Presented below is information related to Tolbert Company.

Business

1 answer:

Anni [7]3 years ago

6 0

Answer:

Option (c) is correct.

Explanation:

Given that,

Cash = $4,000

Short-term investments = $75,000

Accounts receivable = $61,000

Inventories = $110,000

Prepaid expenses = $30,000

Total current liabilities = $100,000

Current assets:

= Cash + Short-term investments + Accounts receivable

= $4,000 + $75,000 + $61,000

= $140,000

Therefore,

Acid-test ratio:

= Current assets ÷ Current liabilities

= $140,000 ÷ $100,000

= 1.4 to 1

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1. A coupon bond pays the owner of the bond A) the same amount every month until the maturity date. B) a fixed interest payment

a_sh-v [17]

Answer:

Option "B" is the correct answer to the following statement.

Explanation:

A coupon bond contract, also abbreviated to as a holder stock, is a debt with a stamp that also has tiny attachable vouchers. The vouchers grant the buyer the opportunity to make interest charges from the lender.

In a coupon bond, an investor gets the face value of the bond on maturity with a fixed interest payment.

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3 years ago

Read 2 more answers

When companies set their dividend payout, they generally aim for a rate that is?

Svet_ta [14]

The companies set their dividend payout, they generally aim for a rate that is when it is sustainable. The dividend payout ratio is the amount of dividends paid to stockholders relative to the amount of total net income of a company. The amount that is not paid out in dividends to stockholders is held by the company for growth. The amount that is kept by the company is called retained earnings.

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3 years ago

Production efficiency is a situation in which the economy is getting all that it can from its resources andâ€‹ _____ produce mor

Dennis_Churaev [7]

Answer:

Cannot, Less

Explanation:

Production efficiency or productive efficiency is the efficient utilization of resources with view to achieving the lowest cost of production. Production efficiency is achieved when an economy is operating on her production possibility curve.

When an economy attained the level of Productive efficiency, it means it can no longer increase production of any commodity without a trade-off for other similar commodity.

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3 years ago

Direct materials for the month amounted to $111,500. Direct labor for the month was $206,500. During the month, 12,500 units wer

Alenkinab [10]

Answer:

1. Total Production Cost = $413400

2. Cost per unit of production for the previous month = $25.44

Cost per unit of production for the next month = $25.44

Explanation:

GIVEN:

Direct Material for 12,500 unit = $111,500

Direct Labor for 12,500 unit = $206,500

Calculate:

Direct Material for 16,250 unit = $111,500*16,250/12,500 = $144,950

Direct Labor for 16,250 unit = $206,500*16,250/12,500 = $268,450

Total Production Cost = Direct labor + Direct materials + Factory Overheads

Total Production Cost = $144,950 + $268,450

Total Production Cost = $413,400

Cost per unit of production = Total Production Cost / Total unit

For Previous month = ($111,500 + $206,500) / 12,500

= $318000/ 12,500

= $25.44

For Next month = ($413400) / 16,250

= $25.44

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3 years ago

wants to have a weighted average cost of capital of 9.0 percent. The firm has an after-tax cost of debt of 6.0 percent and a cos

kogti [31]

Answer:

33.33%

Explanation:

WACC can be calculated using the following formula:

WACC = Ke * (E/V) + Kd(1-T) * (D/V)

Here

V = Market Value of Equity + Market Value of Debt

Or simple we can write it as:

V = E + D

kd(1-T) is after tax cost of debt which is given in the question and is 6%.

Ke = 9% cost of equity

WACC = 9%

So by putting values we have:

9% = 11% * (E/V) + 6% * (D/V)

Which means:

0.09 = 0.11(E/V) + 0.06(D/V)

By multiplying by (V/E), we have:

0.09(V/E) = 0.11 + 0.06(D/E)

As we know that the V/E is just the equity multiplier, which is equal to:

V/E = 1 + D/E

So by putting value we have:

0.09(D/E + 1) = 0.11 + 0.06(D/E)

Now, we can solve for D/E as:

0.09(D/E) + 0.09 = 0.11 + 0.06(D/E)

0.09(D/E) - 0.06(D/E) = 0.11 - 0.09

0.03(D/E) = 0.03

(D/E) = 0.02 / 0.03 = 33.33%

4 0

3 years ago