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3 years ago

The income statement will present

Business

1 answer:

e-lub [12.9K]3 years ago

3 0

Answer:

a. revenues less expenses (order is not important)

Explanation:

In the income statement, the total revenues and the total expenses are recorded.

If the total revenues are more than the total expenditure then the company earns net income

And, If the total revenues are less than the total expenditure then the company have a net loss

This net income or net loss would reflect in the statement of the retained earning account.

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Should Tangshan Mining company accept a new project if its maximum payback is 3.5 years and its initial after tax cost is $5,00

Firlakuza [10]

Answer:

Yes, Tangshan Mining company should accept the project.

Explanation:

Payback period is the number of years it takes for a project's expected cash inflows to recover the initial investment amount.

Tangshan company's required payback period = 3.5 years

0 -5,000,000 -5,000,000

1 1,800,000 -3,200,000

2 1,900,000 -1,300,000

3 700,000 -600,000

4 1,800,000 1,200,000

<em>Payback period = last year with -net CF +(absolute net CF that year /total CF the following year)</em>

Payback period = 3 + (600,000 / 1,800,000)

=3 + 0.33

= 3.33 years

Since 3.33 years is lower than the required payback period of 3.5 years, Tangshan Mining company should ACCEPT the new project; it will take less years to fully recover the initial amount investment.

5 0

3 years ago

Sweet Treats common stock is currently priced at $17.15 a share. The company just paid $1.22 per share as its annual dividend. T

ddd [48]

Answer:

cost of equity = 9.68%

so correct option is d. 9.68%

Explanation:

given data

currently priced = $17.15

paid annual dividend = $1.22

dividends increasing = 2.4% annually

to find out

firm's cost of equity

solution

we get here cost of equity by apply price equation that is express as

Price = recent dividend × ( 1 + growth rate ) ÷ ( cost of equity - growth rate) .....................1

put here value we get

$17.15 = $\frac{1.22*(1+0.024)}{cost\ of\ equity - 0.024}$

solve it we get

cost of equity = 9.68%

so correct option is d. 9.68%

5 0

3 years ago

The Baldwin company currently has the following balances on their balance sheet: Assets $180,506 Common Stock $11,365 Retained e

Amiraneli [1.4K]

Answer:

The total liabilities for the next year amount to 37163 $.

Explanation:

To calculate the liability we will use the simple equation given below.

Asset-equity=liability

Assets-RE=Liability

Current year Change* Next Year

Assets 180,506.00 29,506.00 151,000.00

Common Stock (11,365.00) 0 (11,365.00)

Retain Earning (92,472.00) (10,000.00) (102,472.00)

Liability- BaL figure 76,669.00 37,163.00

*Retain earning= Net profit- dividend

Hence balancing figure that is 37,163 dollars is liabilty for next year,

7 0

4 years ago

Department stores are most likely characterized by ________. Group of answer choices wide varieties of product lines predatory p

AURORKA [14]

Answer:

brands specialty

Explanation:

4 0

3 years ago

Taxable income from the rental of actively managed depreciable real estate is classified as:

iragen [17]

Answer:

passive income if taxable income is negative;active income if taxable income is positive.

3 0

3 years ago