Answer:
Adjusting Entry
Cost of goods sold (Dr.) $11,000
Beginning Inventory (Cr.) $6,000
Purchases (Cr.) $5,000
Closing Entry
Ending Inventory (Dr.) $2,000
Income Summary (Cr.) $2,000
Explanation:
The adjusting entry is made by debiting cost of goods sold account which reflects the amount of inventory sold during the month and the entry is credited by beginning inventory of $6,000 and the remaining amount which is $5,000 is credited in purchases account.
The closing entry is made by debiting the ending inventory by the amount of $2,000 and Income Summary account is credited by the same amount to close the inventory account.
Answer:
The cost of equity is 9.91%
Explanation:
The constant growth model of the DDM is used to calculate the price of the share or the fair value per share based on a constant growth in dividends and the required rate of return which is also known as cost of equity.
Plugging in the available values in the formual we can calculate the cost of equity or the required rate of return.
73.59 = 4.57 / (r - 0.037)
73.59 * (r - 0.037) = 4.57
73.59r - 2.72283 = 4.57
73.59r = 4.57 + 2.72283
r = 7.29283 / 73.59
r = 0.0991 or 9.91%
Answer:
Trend- % change in sales = 34.64%
Explanation:
<em>Trend analysis entails determining the performance of a business over time by comparing its performance data from one period to another. The aim of trend analysis is to identify the behavior of a set of ratios over a period of time by comparing them across different years.</em>
To determine the trend for a particular data, we use the formula below
% Change in variable =
(Current year figure - Previous year figure)/Previous year figure × 100
DATA
Current year figure for sales (2017) - 450,000
Previous year figure for sale (2016) - 688,500
% change in sales = (450,000 -688,500)/688,500 × 100 = 34.64%
% change in sales = 34.64%
This implies that the company made sales in 2017 which is 34.64% less than that made in 2016
Answer:
Sell 1,000 shares of XXYZZ and buy 10 XYZZ put contracts
Explanation:
In the stock markets a bullish trend is when the price of the stock increases, while a bearish market is when the stock price decreases.
In this scenario the customer owns 1,000 shares of stock XYZZ stock that have been in a bullish trend rising from $40 to $45.
Usually a bullish trend is followed by a bearish trend.
If the customer is sure there will be a bear on the stock them he should sell or make a put trade.
On sale of the 1,000 shares the customer will make $5 per share, and enter a put option since the market is going bearish.
Answer:
The correct answer is letter "B": Top Managers.
Explanation:
Top Managers are the executives of every firm responsible for the decision-making of the operations of the corporation. They are the head of each department in the corporate structure that includes the <em>Chief Executive Officer (CEO), Chief Operations Officer (COO), Chief Information Officer (CIO), and Chief Marketing Officer (CMO)</em> to mention a few. These are also referred to as "C-level positions".
