Answer:
$300,000
Explanation:
Although the property dividend was distributed on January 15, year 6. the <u>amount that will be used is the value of the shares as at the declaration date and not the distribution date </u>
Hence, since the aggregate market price of the tell shares held by bain was $300,000. on the declaration date, the entry to record the declaration of the dividend should include a debit to retained earnings (or property dividends declared) of $300,000
Answer:
(A) True
Explanation:
A corporation just requires a basic incorporation state, through which the legal identity of its incorporation is created. After that it does not require to incorporate in all the states where the business is being conducted.
As per the law, there shall be at-least a different legal identity then that of the individual to conduct such business. Law does not demand separate incorporation.
Thus, the above statement is
True.
Answer:
1. Yes, overshooting is consistent with PPP. Investors forecast the expected exchange rate based on the theory of PPP. When there is some change in the market, the investors know the exchange rate will change to equate relative prices in the long run. This is why we observe overshooting in the short run. The investors incorporate this information into their short-run forecasts.
2. Exchange rates are volatile in the short run. The theory's implication that there is exchange rate overshooting (in response to permanent shocks) is one explanation for short-run volatility in
exchange rates.
Answer:
Executive summary
Explanation:
It provides information about the business's purpose.
