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lisabon 2012 [21]
3 years ago
6

"A customer has purchased 1,000 shares of ABC stock at $44 per share, paying a commission of $1.00 per share for the transaction

. ABC stock declares a 20% stock dividend. When the dividend is paid, the tax status of the investment is:"
Business
1 answer:
ikadub [295]3 years ago
5 0

Answer:

1,200 shares held at a cost basis of $37.50

Explanation:

Since there are 1,000 shares are purchased

and the stock dividend is 20%

So the number of shares after the dividend is  

= 1,000 × (1 + dividend percentage)

= 1,000 × (1 + 0.20)

= 1,000 × 1.20

= 1.200

And, the price per share is

= $44 + $1

= $45

So, the cost basis would be

= $45 ÷ 1.20

= $37.50

hence, the tax status of the investment is 1,200 shares held for cost at $37.50 basis

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Western Company is preparing a cash budget for June. The company has $11,200 in cash at the beginning of June and anticipates $3
Kazeer [188]

Answer:

during June balance  we need pay or borrow $4100

Explanation:

given data

cash = $11200

cash receipts = $30800

cash payments  = $36100

minimum cash balance = $10000

required balance =  $10000

to find out

during June balance

solution

so we find balance here as

balance = cash in beginning + cash receipts - cash payments

put here all value

balance = 11200 + 30800 - 36100

balance = $5900

so here we know minimum cash balance require = $10000

so here

required balance = $10000 - $5900

required balance = $4100

so during June balance  we need pay or borrow $4100

7 0
3 years ago
Which of the following tools would be used to tighten a nut or bolt with a precise amount of twisting
Nataly [62]

the answer would a actually be A. Torque Wrench


A torque wrench is a tool used to apply a specific torque to a fastener such as a nut or bolt. It is usually in the form of a socket wrench with special internal mechanisms.

5 0
3 years ago
A company had a beginning balance in retained earnings of $45,000. It had net income of $8,000 and paid out cash dividends of $6
myrzilka [38]

Answer:

The correct answer is: $46,875.

Explanation:

Retained Earnings are the portion of the company's net earnings that it does not payout to shareholders as dividends. The company keeps this money, reinvest it in the business, or uses it to pay out a portion of its debt. To see how much of its earnings a company has retained look at the Balance Sheet under shareholder's equity. Retained earnings are calculated using the following formula:

RE = BP + Net Income (or Loss) − C − S

Where:

RE = Retained Earnings

BP= Beginning Period RE

C = Cash dividends

S = Stock dividends

Then, in the example:

RE = $45,000 + $ 8,000 - $6,125

RE = $46,875

3 0
3 years ago
With respect to organizational changes, a health care organization that discovered weaknesses in the organization’s ability to c
Leni [432]

Answer:

The correct answer is "Process change "

Explanation:

Process Change or Process Change Management is implemented when you identify a mistake or a process that doesn´t function in a better way. That means that you need to consider to change or modify an existing process to improve them, and what should be the goals or objectives of the change.

7 0
3 years ago
Four companies computed their days' sales in inventory as follows: Company A: 47.2 Company B: 36.5 Company C: 45.1 Company D: 39
Leviafan [203]

The most efficient and effective in managing its inventory is Company B.

<h3>Who is the most efficient?</h3>

The days' sales in inventory  is a financial ratio that measures the rate at which a firm is able to sell its inventory in a given year. The lower the ratio, the more efficient a firm is in selling its inventory.

Days' sales in inventory = number of days in a period / inventory turnover

Inventory turnover =  cost of goods sold / average inventory

To learn more about financial ratios, please check: brainly.com/question/26092288

#SPJ1

7 0
2 years ago
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