The answer would be the stock price will decrease. The reason behind this is the original price replicates an expectation or looking forward of a 25% upsurge in the company’s earnings. The actual increase is a dissatisfaction compared to original expectations.
Answer:
B) Integrity.
Explanation:
The Institute of Management Accountants is body, they are regarded as association for financial professionals and they were recognized globally.
The Four standards that is Been set up as ethical conduct in management accountants in IMA are;
✓competence
✓ confidentiality
✓integrity
✓credibility
Integrity which is one of the standards is essential, it involves the accountant been honest and be forthright when handling financial information of clients.
Answer:
c. The difference between the total debits and total credits for an account including the beginning balance.
Explanation:
An account wil be a concept of reality represent under a given label which, contains information about transaction that modifies their valuation in the company.
This means, there is something that can be measure in a monetary units.
There are transaction which increase their total value
and transaction which decreases his value.
All those transaction combined generate an ending balance, which is the state of the account at the given date.
For example
Mechandise Inventory: this account represent the inventory ready to sale for the business.
purhcase of inventory increase this account
sales from the business activities decreases it.
the ending balance will be the net effect fo the purchase and sales.
Answer:
The answer is: $113,000
Explanation:
By 2020, Phillips Company had already amortized $22,000 of the patent expenses (2 years x [10% x ($100,000 + $10,000)]). Since it lost its patent defense in 2020, it will now have to write off $113,000 ($88,000 pending amortization + $25,000 in legal fees) for the adjustment of its 2018 income.
Answer:
Cost of equity= 10,50%
Explanation:
The cost of equity is the return a company requires to decide if an iThe cost of equity is the return a company requires to decide if an investment meets capital return requirements. A firm's cost of equity represents the compensation the market demands in exchange for owning the asset and bearing the risk of ownership.
Cost of equity= (D1/P0)+g
D1= next year dividend (D0*
P0=actual price
g= growth rate of dividends
In this exercise:
D1=D0*(1+g)=0,90*1,07=$0,963
P0=$27,50
g=0,07
Cost of equity= 0,963/27,5+0,07=0,1051=10,50%
