Answer:
The correct answer would be option A, Financial.
Explanation:
Xyz corporation has suffered a major downturn in business, and will not be able to pay interests on its bonds. This is an example of Financial Risk.
When companies or corporations face downturns in business, they actually encounter financial losses which in turn will affect the corporation and the shareholder or stockholders or bond holders. People who invested in the bonds of the company will not be able to get interests on their investments with the corporation. This is because the corporation is suffering financially and can't pay money or interest to the bond holders. This is a true financial risk for the investors as well as for the corporation.
It's a long-term investment and the company owns 45% of shares of Hall Inc. Hence the company exercises significant influence over Hall Inc.
The various journal entries on the transaction occured would be made as under:
No. Account Name Debit Credit
1. Investment 1296000
Cash 1296000
2. Investment 97650
Investment income
(217000 x 45%) 97650
3. Cash 64800
Investment (1.60 x 40500) 64800
The effect on the cash flow statement will be:
Operating activities:
No effect 0
Investing activities:
Purchase of investment -1296000
Receipt of dividends 64800
The current stock price is also known as the marketplace fee. it's far the fee at which a share of inventory or every other security is ultimately traded. In an open market, the modern charge functions as a baseline . Divide equity by the wide variety of stocks issued. If, say, the company's well worth $10 million and there are 10,000 shares, the share fee of every percentage is $1,000.
Learn more about The share market here:- brainly.com/question/690070
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Answer:
A. Debit Income Summary $41,300; credit Expense accounts $41,300
Explanation:
At the end of the period, the revenue and expenses for the company are closed into the income summary account which in turn is closed into the retained earnings account.
For revenue, the entries are debit revenue and credit income summary with the revenue for the year. For expenses, credit expenses and debit income summary with the total expense for the year.
As such, given that Total revenues for the period are $58,200, total expenses are $41,300, and dividends are $10,200, the correct closing entry for the expense accounts is
Debit Income Summary $41,300
Credit Expense accounts $41,300
Answer:
20.8%
Explanation:
The computation of the expected return of the combined new portfolio is shown below:
= (Expected return of the Iron stock × weightage of iron stock) + (expected return of the copper stock × weightage of copper stock)
= (25% × 30%) + (19% × 70%)
= 7.5% + 13.3%
= 20.8%
The weighatge of current portfolio is come from
= 100% - 30%
= 70%
Answer:
EMBG Corporation
Balance Sheet
For year ending December 31, 2016
Assets: $376,000
- Cash $44,000
- Accounts receivable $28,000
- Equipment, net $304,000
Liabilities
Equity
- Common stock $130,000
- Retained earnings $186,000
Total liabilities + equity $376,000
net income = $326,000 - $44,000 - $116,000 - $42,000 = $124,000
retained earnings = previous balance + net income = $62,000 + $124,000 = $186,000
