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3 years ago

When a corporation has both common stock and preferred stock outstanding:

Business

1 answer:

fredd [130]3 years ago

7 0

Answer:

D. dividends on preferred stock must be paid before dividends on common stock can be paid.

Explanation:

While distributing the dividend to the shareholders we give the first preference to the preference shareholder then the remaining dividend is distributed to the equity shareholders.

As the distribution of dividend is not compulsory but whenever the company earns a profit during a particular year it will distribute the dividend according to their investment amount

Hence, d option is right

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Sarbanes-Oxley does not require:

Novosadov [1.4K]

Answer:

B) companies to turn over responsibility for establishing and maintaining internal controls for financial reporting to auditors.

Explanation:

Sarbanes- Oxley is popularly called SOX and which is also know as the ''Public Accounting Reform and Investor Protection Act'' in the United States' Senate and ''Corporate and Auditing Accountability, Responsibility and Transparency Act'' is a USA federal law the sets out new regulations for all U.S public company boards, management and public accounting firms. Some part of the Act makes provisions that apply to privately owned companies.

The Sarbanes-Oxley is named after the bill sponsors that is Senator Sarbanes and a U.S Representative known as Micheal G. Oxley and this bill makes sure that the top management of a company must each individually determine and certify the accuracy of all financial information provided or stated. This bill was enacted in 2002 to curb a number of major corporate accounting scandals, especially those affecting big accounting firms like ; Enron, Tyco International, Adelphia, Peregrine Systems, and WorldCom that cost investors to loose a lot of money when the their shares collapsed.

As a guiding principal companies and organizations are supposed to adhere to the options mentioned above except for option B which states: companies to turn over responsibility for establishing and maintaining internal controls for financial reporting to auditors.

5 0

3 years ago

Grover Corp. manufactures three products, and is currently facing a labor shortage. The selling price, costs, and labor requirem

Svetradugi [14.3K]

Answer:

A, C, B

Explanation:

Calculation to determine In what order should Grover Corp. prioritize production of its products to maximize profit during the labor shortage

Product A Product B Product C

Selling price $ 44.00 $ 18.00 $ 28.50

Less Variable cost per unit

$ 28.00 $ 15.00 $ 27.00

=Contribution margin per unit

$16.00 $3.00 $1.50

÷Direct labor hours per unit 2.00 1.50 .50

=Contribution margin per labor hour

$8.00 $2.00 $3.00

PRODUCT A=$16.00÷2.00

PRODUCT A=$8.00

PRODUCT B=$3.00÷1.50

PRODUCT B=$2.00

PRODUCT C=$1.50÷.50

PRODUCT C=$3.00

RANKING:

PRODUCT A=$8.00

PRODUCT C=$3.00

PRODUCT B=$2.00

Therefore based on the above calculation the order that Grover Corp.should prioritize production of its products to maximize profit during the labor shortage will be from the highest Contribution margin per labor hour to the lowest which are A,C,B

5 0

3 years ago

Read 2 more answers

Sarafiny Corporation is in the process of preparing its annual budget. The following beginning and ending inventory levels are p

olchik [2.2K]

Answer:

560,000 grams should be purchased

Explanation:

production budget:

estimated sales = 140,000 units

planned ending inventory = 77,000

total production required = 217,000

- beginning inventory = (27,000)

units to be produced = 190,000

materials budget:

units to be produced = 190,000

materials per unit = 3

total direct materials needed = 570,000

+ desired ending inventory = 47,000

- beginning inventory = (57,000)

direct materials purchases = 560,000

7 0

2 years ago

In a carpet store, a manager is interested in finding the optimal installation crew size. The following is the output measured o

pantera1 [17]

Answer:

CREW SIZE OF 2 716 IS THE BEST SINCE PRODUCTIVITY APPEARS TO BE HIGHER IN BOTH THESE CASES

Explanation:

THE FORMULA FOR PRODUCTIVITY = OUTPUT / TOTAL INPUT

UNIT OUTPUT INPUT PARTIAL PRODUCTIVITY

1 716 2 716 / 2 = 358

2 1298 4 1298 / 4 = 324.5

3 1017 3 1017 / 3 = 339

4 1002 3 1002 / 3 = 334

5 1278 4 1278 /4 = 319.5

6 702 2 702 / 2 = 351

Based on the above calculation, it is concluded that :

CREW SIZE OF 2 716 IS THE BEST SINCE PRODUCTIVITY APPEARS TO BE HIGHER IN BOTH THESE CASES.

6 0

3 years ago

Shannon and ian, student consultants, chose a home construction business as a client for a semester strategic planning assignmen

trasher [3.6K]

Answer:

E. Adherence to universal ethical norms always takes precedence over local ethical norms.

Explanation: Adherence to universal or "first-order" ethical norms should always take precedence over local or "second-order" norms. In instances involving universally applicable ethical norms (like paying bribes), there can be no compromise on what is ethically permissible and what is not.

8 0

3 years ago