The statement of owner's equity—also called the statement of retained earnings—shows the change in retained earnings between the start and end of a period (e.g., a month or a year). The record reflects a company's solvency and financial position.
<h3>What are the three financial statements?</h3>
The earnings report , record , and statement of money flows are required financial statements. These three statements are informative tools that traders can use to research a company's financial strength and provide a quick picture of a company's financial health and underlying value.
What is the statement of retained earnings ?
Reports the way that net and the distribution of dividends affected the financial position of the company during the accounting period. the sum of the share of net income which is not paid to the shareholder as dividend. the aim of the retained earnings is reinvestment
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The optimal capital structure can be realized if : Debt-equity ratio selected results in the lowest possible weighted average cost of capital.
- An optimal capital structure can be regarded as best mix of debt as well as equity financing which maximizes a company's market value.
- And as well minimizing its cost of capital, it can be realized when Debt-equity ratio that is been selected, gives the lowest possible weighted average cost of capital.
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Answer: Increase of $8,200
Explanation:
Currently, the company is making a net operating income of;
= Contribution Margin - Fixed expenses
= (90 * 6,700) - 547,700
= $55,300
If the company advertises, net operating income becomes;
= Contribution margin with increase in sales - Fixed expenses including advertisements
= (90 * (6,700 + 170)) - (547,700 + 7,100)
= $63,500
Increase in operating income = 63,500 - 55,300
= $8,200
Answer:
For conversion costs, the equivalent units of production are 1,610 units. The right answer is B
Explanation:
According to the given data we have the following:
begging work in progress = 280 units
units started=1450 units
Therefore, total input= 280 units + 1450 units
Total input = 1730 units
There is end work in process of 120 units
Therefore, the equivalent units of production are=Total input-end work in process
The equivalent units of production=1,730 units-120 units
The equivalent units of production=1,610 units
For conversion costs, the equivalent units of production are 1,610 units
Answer:
The higher the price, the higher the producer's profits. Your needs and wants are unlimited. If heavy competition for a product keeps its price low, businesses will be very motivated to offer the product for sale.
