Answer:
$15,000
Explanation:
Closing retained earnings is the accumulated value of an entity`s profit reserve from its earnings from both current and past accounting periods.Closing retained earnings is calculated by deducting dividend paid from earnings after tax of the current year and adding the balance to opening retained earnings.
= Opening retained earnings + (Earnings after tax - Dividend paid)
Based on the information supplied, the closing retained earnings will be:
$
Service Revenue 10,000
Total Expenses (6,000)
Operating profit 4,000
Dividend <u> (1,000)</u>
Retained Earnings 3,000
Retained Earnings b/f <u> 12,000</u>
Closing Retained Earnings <u> 15,000</u>
Note: No information in regard of tax, so the operating profit is used as profit after tax.
Answer: $40,000
Explanation:
As this is a manufacturing company, they are exempt of Accumulated earnings tax of the amount of $250,000. Anything above that will be subject to an Accumulated Earnings tax rate of 20%.
Accumulated Earnings tax = 20% * (450,000 - 250,000)
Accumulated Earnings tax = 20% * 200,000
Accumulated Earnings tax = $40,000
A stock has an expected return of 13. 24 percent, the risk-free rate is 4. 4 percent, and the market risk premium is 8. 98 percent. 0.75 is the stock's beta.
Calculate the beta for stock using the CAPM approach as follows:
Cost of common stock = Risk-free rate + Beta × Market risk premium
13% 7% + Beta x8%
13% 7% Beta × 8%
6% = Beta x8%
6% 8% Beta = =
=0.75
Therefore, the beta for stock using the CAPM approach is 0.75.
Market risk is the potential for loss to individuals or other companies as a result of factors that affect the overall performance of an investment in financial markets.
Learn more about market risk at
brainly.com/question/25821437
#SPJ4
Answer:
The correct answer is option a.
Explanation:
In the consumption of two commodities, the total utility is maximized when the ratio of marginal utility and price of the product is the same for both the goods.
A person is consuming two goods, peanuts and chips. The individual is able to maximize total utility. If the price of peanuts and chips are equal, this means that the marginal utilities derived from the consumption of these two must be equal.
Kevin white is known for his demanding leadership style. he charged into the office one afternoon and demanded that a detailed report be on his desk by 5 p.m. "otherwise," he said, "someone will have to pay the piper." kevin is using the coercive tactic to influence, it is similar in many ways to the legal concept of undue influence. In the psychological field it is known by several names: "Reform of Thought", "Brainwashing", "Programming of Conduct".