Answer:
correct option is a. decrease by $80,000
Explanation:
given data
stock dividend = 10%
common stock = $5
Chief = 80,000 shares
market value = $10
to find out
Chief's retained earnings will
solution
here retaining earning will be decrease by the maount of stock dividend that is
retaining earning = $80,000 × 10 % × $10
retaining earning = $80,000 × 0.10 × $10
retaining earning = $80000
so here correct option is a. decrease by $80,000
Answer: =-9.34%
Explanation:
Assuming the brokerage account pays no interest on your cash, the return, relative to the collateral will be calculated as:
= (Short sell price - dividend - Share buy price)/Capital employed
= (5433 - 100 - 5600) / 2850
= -267 / 2850
= -0.09368
=-9.34%
Note:
Short sell price = 54.33 × 100 = 5433
Dividend = 100
Share buy price = 56 × 100 = 5600
Gross profit is net sales minus the cost of goods sold. It reveals the amount that a business earns from the sale of its goods and services before the application of additional selling and administrative expenses.
Answer: Option C
Explanation: In a market system, the suppliers are willing to produce those goods that have value to the consumers directly or indirectly. The focus is on maximizing output for achieving the economies of scale so that goods could be sold at a lower price, thus, increasing the sales.
Hence,the suppliers in case of market system use more of capital goods as they produce more output and relatively shortens the cost per piece.
Thus, the correct option is C.
