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AfilCa [17]
3 years ago
8

Dunder Imports has common stock outstanding at a market price of $57 per share. The total market value of the firm is $5,130,000

. The firm plans on liquidating one of its divisions for $500,000 in cash, after taxes, and distributing the proceeds to the shareholders in the form of a liquidating dividend. What will be the amount per share of that dividend
Business
1 answer:
MaRussiya [10]3 years ago
3 0

Answer:

Dividend per share is 5.55.

Explanation:

Common stock has the market price = $57 per share

The total market value of the firm = $5130000

The liquidating amount of its division = $500000

Now we have to find the amount per share of the dividend, below is the calculation.

Number of outstanding shares  = 5130000 / 57 = 90000

Dividend = 500000

Dividend per share = 500000 / 90000 = 5.55

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6 0
3 years ago
uses the high-low method to analyze cost behavior. The company observed that at 20,000 machine hours of activity, total maintena
rewona [7]

Answer:

$90,000

Explanation:

The computation of the fixed cost and the variable cost per hour by using high low method is shown below:

Variable cost per hour = (High cost - low cost) ÷ (High machine hours - low machine hours)

= ($234,000 - $210,000) ÷ (24,000 hours -20,000 hours)

= $24,000 ÷ 4,000 hours

= $6

Now the fixed cost equal to

= High cost - (High machine hours × Variable cost per hour)

= $234,000 - (24000 hours × $6)

= $234,000 - $144,000

= $90,000

The high cost is computed below:

= 20,000 hours × $10.50

= $210,000

And, the low cost would be

= $24,000 hours × $9.75

= $234,000

7 0
3 years ago
Burbank Corporation (calendar-year-end) acquired the following property this year
GREYUIT [131]

a. Burbank Corporation must use the mid-quarter convention to determine its cost recovery.

6 0
3 years ago
Greenbelt Construction has been a successful small home-building firm for years. The owner pays subcontractors slightly more tha
kipiarov [429]

Answer: Option (E)

Explanation:

Supply chain management is referred to as or known as broad/wide range of activities which are required in order to control, plan, and execute a commodity's flow, i.e. from the primary stage of acquiring raw material and thus production to the final stage of distribution to consumer, in most streamlined, efficient and effective way that is possible.

In other words it encompasses or encloses integrated execution and planning of a procedure which is required in order to optimize flow of the material, financial capital and information in areas which include sourcing, demand planning, production, storage and inventory management, logistics and also the return of defective products.

4 0
3 years ago
A company manufactures various-sized plastic bottles for its medicinal product. The manufacturing cost for small bottles is $50
Artyom0805 [142]

Answer:

a. $(8000)

b. Company should choose alternative 1 and make bottles.

Explanation:

Particulars               Make Bottles            Buy Bottles  Differential

                                Alternative 1             Alternative 2

Purchase Price                  0                       $37                               $(37)

Freight Charges                 0                       $4                                $(4)

Variable cost                    $33                                                          $33

Fixed Cost                        $17                     $17                                  0

Cost per unit                    $50                    $58                              $(8)

Income / (Loss)                 $50,000            $58,000                      $(8,000)

b. The company should choose alternative 1 and make bottles. The buying of bottles will cost company loss of $8,000.

7 0
4 years ago
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