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Rama09 [41]
3 years ago
5

A customer is dollar cost averaging by investing $400 per month into a mutual fund. Over 4 months, the customer has made purchas

es at $13 per share, $10 per share, $8 per share, and $9 per share. By using this method, the customer has an average cost per share that is how much lower than the average price per share?
Business
1 answer:
Nostrana [21]3 years ago
6 0

Answer:

$0.32 per share

Explanation:

For computing the lower price per share first we have to find out the average cost per share which is shown below:

1 $400 ÷ $13 = 30.769

2 $400 ÷ $10 = 40.000

3 $400 ÷ $8 = 50.000

4 $400 ÷ $9 = 44.444

$1,600  = 165.213 shares

Average cost per share = Total cost ÷ total number of shares  

                                       = $1,600 ÷ $165.213 shares

                                       = $9.68 per share

And, the average price per share is

= ($13 + $10 + $8 + $9) ÷ 4

= $10 per share

So, the lower value is

= $10 per share - $9.68 per share

= $0.32 per share

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Drupady [299]

Answer:

There was no contract since there was no mutual agreement on the shipping company.

Explanation:

For a contract to be enforceable, it is necessary to have proper offer and acceptance by the two parties. In this case, Strike made an offer and Bailey accepted the stated price but added that the shipping has to be done by Yellow Express Truck Line and not Dependable Truck. Since there was no agreement reached on the shipping company by both the parties, the contract isn't enforceable.

6 0
3 years ago
Marquis has a gross pay of $816. By how much will his gross pay be reduced if Marquis has the following items withheld? federal
andre [41]

Gross pay is the amount of income before taxes and deductions. The amount by which the gross pay is reduced is $174.66.

<h3>What is gross pay?</h3>

The gross pay is the amount of salary or wages that is before the taxes or other deductions. The expense of tax and deductions are subtracted from the gross pay to calculate the net pay.

The gross pay of Marquis in the given question is $816. His gross pay will be reduced by the taxes to calculate the net pay.

The amount of reduction will be the sum of all the taxes levied such as federal tax, social security tax, and so on.

Therefore the amount by which the gross pay will be reduced is:

\begin{aligned} \rm Federal\: tax &= \$92\\\\\rm Social\: security\: tax (\$816\times 6.2\%) &= \$50.592\\\\\rm Medicare\:tax (\$816\times 1.45\%) &= \$11.832\\\\\rm \end

The state tax is calculated as a percentage of federal tax. The state tax is:

\rm State \:tax (\$92\times 22\%) &= \$20.24\\

Therefore the total amount of reduction is:

\rm Total\:amount\:of\:reduction = \$92 + \$\$50.592 + \$11.832 +\$20.24\\\\\rm Total\:amount\:of\:reduction = \$174.664

Hence, the correct option is d.

Learn more about gross pay here:

brainly.com/question/8067656

6 0
2 years ago
QS 10-9 Bond retirement by call option LO P4 On July 1, 2017, Advocate Company exercises an $6,400 call option (plus par value)
vovikov84 [41]

Answer: The answer has been attached.

Explanation:

The journal is an accounting book that is used to record the transactions that take place in a business.

The entry to retire the bonds have been recorded. It should be noted that the bonds payable and the premium on

the bonds payable are debited while

the gain on the retirement of bonds and cash was credited.

Kindly, check attached file.

4 0
3 years ago
Stear Corp. decides to deposit $1,000 in its bank account. This cash was paid from the cash register of the company. What will b
Liula [17]

Answer:

Cash Account (debit) 1,000

Cash in Bank Account (Credit) 1,000

Explanation:

Given

Amount = \$1,000

Required

Write a journal entry

In this case:

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This means that, $1000 will be debited from the company's cash account.

So, the entry for that will be:

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In the same vein, $1000 will be credited into the company's bank account.

So, the entry for that will be:

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5 0
3 years ago
Read 2 more answers
Sub Sandwiches of America made the following expenditures related to its restaurant.
galina1969 [7]

Answer:

1. Heating Equipment

2. Premises

3. Maintenance Expense

4. Prepaid Insurance

5. Intangible Asset ; Logo

6. Premises

Explanation:

1. Replacement of heating equipment is substantial hence it is capitalized to the Heating Equipment Account.

2. The project is capitalized to the Premises Account as it form part of premises.

3. Annual Building maintenance is a revenue expenditure not capitalized.

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6. Work done is capitalized in the Premises Account

3 0
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