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Kipish [7]
3 years ago
9

Refer to the following information for Tolan​ Corporation: bullet Common​ Stock, $1.00​ par, 106,000 shares​ issued, 100,000 sha

res outstanding bullet ​Paid-In Capital in Excess of Parlong dash​Common: ​$2,190,000 bullet Retained​ Earnings: $920,000 bullet Treasury​ Stock: 6,000 shares purchased at​ $21 per share If Tolan resold​ 2,500 shares of treasury stock for​ $22.50 per​ share, which of the following statements would be​ true?
A

The Treasury Stock account would decrease by​ $52,500.

B.

The Retained Earnings account would increase by​ $56,250.

C.The​ Paid-In Capital in Excess of

Parlong dash—Common

account would increase by​ $2,500.

D.

The Treasury Stock account would decrease by​ $26,250.
Business
1 answer:
ra1l [238]3 years ago
8 0

Answer:

Option (A) is correct.

Explanation:

Journal entry at time of selling treasury stock :

Cash A/c                     Dr.  $56,250

To  Treasury stock                               $52,500    

To  Paid in capital in excess of par     $3,750

Workings:

cash = 2,500 × 22.5

        = $56,250

Treasury stock = 2,500 × $21

                         = $52,500  

Paid in capital in excess of par = 2,500 × $1.5

                                                   = $3,750

Therefore, this will conclude that

Treasury stock will decrease by $52,500.

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Answer: Sales promotion

Explanation:

Promotion includes all the techniques sellers use to motivate/persuade people to purchase their product or services.

Sales promotion is a part of the promotional mix that uses media and non-media outlets to improve product awareness, increase consumer demands and marketability. It helps in stimulating consumers' interest in a product.

Sales promotion programs are designed to enhance personal selling, advertising, public relations, and other promotional efforts.

Sales promotions can take place both within/inside and outside an organization. It helps to attract new customers, with old existing customers and ease competition.

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As product adopters in the diffusion of innovation, members of the early majority Group of answer choices
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Answer:

The correct answer is letter "B": are deliberate and use many informal social contacts.

Explanation:

Sociologist and Professor E.M. Rogers (1931-2004) proposed The Diffusion of Innovations Theory which is a concept that relates several consumers' factors with the time they take to adopt technological innovation. Those influential factors are individuals' opinions and the rate at which they can interact with the innovation. According to the theory, consumers can be classified into five (5) groups:

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3 years ago
If an investment is producing a return that is equal to the required return, the investment's net present value will be:
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The net present value would be zero.

Hope this helped! :)
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Consider a single factor APT. Portfolio A has a beta of 2.0 and an expected return of 19%. Portfolio B has a beta of 1.0 and an
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Answer:

Invest 50% in portfolio A and the rest 50% in risk-free asset to create Portfolio D, we will have the same systematic risk as that of Portfolio B.

The expected return of Portfolio D = 11%

Portfolio D and Portfolio B have the same beta of 1.0. But, portfolio D has a higher return of 11% as compared to the expected return of Portfolio B of 8%.

Buy Portfolio D, and sell Portfolio B.

Explanation:

A risk free asset is referred to an asset that provides a virtually guaranteed return and no possibility of loss.

Risk-free asset has a beta of 0.

Portfolio D Beta = Wa × Portfolio A Beta + Wb × Risk-free asset beta

1.0 = Wa * 2.0 + Wb * 0

Wa = 1.0/2.0

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The expected return of Portfolio D = 0.11

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Buy Portfolio D, and sell Portfolio B.

7 0
3 years ago
If expected inflation rises, the long-run Phillips curve will
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Even though the Phillips curve is an empirical model has historically shown that the rate of unemployment and the rate inflation is inversely proportional, this is only observed in the short-run. In a graph, this is shown as non-linear.

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