1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Nastasia [14]
3 years ago
14

The right side of the balance sheet shows the firm's liabilities and stockholders' equity. Which of the following best describes

shareholders' equity? Equity is the difference between the company's assets and liabilities. Equity is the initial claim on value of the assets before the firm pays off its liabilities. NOW Inc. released its annual results and financial statements. Grace is reading the summary in the business pages of today's paper. In its annual report this year, NOW Inc. reported a net income of $176 million. Last year, the company reported a retained earnings balance of $527 million, whereas this year it increased to $620 million. How much was paid out in dividends this year? $269 million $4 million $420 million $83 million
Business
1 answer:
Leokris [45]3 years ago
3 0

Answer:

1. Equity is the difference between the company's assets and liabilities.

2. D. $83

Explanation:

Req. A

We know,

The accounting equation is

Total asset = total liabilities + total stockholders' equity

Therefore, total asset - total liabilities = total stockholders' equity

So, we can say that equity is the difference between the company's assets and liabilities. However, equity cannot be claimed before the liabilities. Therefore, the option "A" is the correct answer.

Req. B

                          Now Inc.

      Statement of retained earnings

For the year ended, December 31, 20XX

Beginning retained earnings (Last year)                $527

Add: Net Income (Current year)                                 176

Less: Dividend (Balancing)                                   <u>     </u><u>(83)</u>

Ending retained earning (Current year)                 $620

Calculation: $(527 + 176 - 620) = $83

Therefore, the option "D" is the correct answer.

You might be interested in
In the context of choosing an appropriate advertising media, at present the brands that cater to the older generations are not s
Lemur [1.5K]

Answer:

Social media is a very good way of protesting because many many people go on social media sites and they can join in and instead of being abused by other people outside you can easily make a protest on video or a website.

6 0
3 years ago
Read 2 more answers
1. The interest rate that the Federal Reserve Bank (the Fed) charges member banks for loans is known as the____________ .
horsena [70]

Answer:

1. Discount rate.

2. Increase.

Explanation:

A Federal Reserve Bank is one of the twelve regional banks of the Federal Reserve System in the United States of America. The Federal Reserve Banks are saddled with the responsibility of implementing the monetary policy designed and provided by the Federal Open Market Committee (FOMC).

Federal Reserve System also known as the Fed, was created under the Federal Reserve Act which was passed by US Congress in 1913. The Fed began its operations in the year 1914. It's a financial institution which was founded by President Woodrow Wilson and was primarily aimed at backing each banks in order to put a definitive end to the bank panics of the 1800s.

Furthermore, just like all central banks, the Fed is a government financial institution which is saddled with these responsibilities;

1. Controlling the issuance of currency in United States of America: the Fed promotes public goals such as economic growth, low inflation, and the smooth operation of financial markets.

2. Providing banking services to all the commercial banks in the country: the Fed is the "lender of last resort.

3. Regulating banking activities: it has the power to supervise and regulate banks.

The Federal Reserve Board is the governing body which essentially manages the Federal Reserve System and performs an oversight function on domestic monetary policies.

<em>Additionally, the interest rate that the Federal Reserve Bank (the Fed) charges member banks for loans is known as the discount rate. Also, the Fed can increase the money supply by lowering this rate (discount rate) and thus, empowering the member banks to lend more money.</em>

5 0
3 years ago
What store do you think has this?<br><br> Winner receives: 20 points
Grace [21]
Home goods has things like that or world market
4 0
2 years ago
________ are certificates that save buyers money while they purchase specified products.
DedPeter [7]
Hey there,
The answer is coupons.

Hope this helps :))

<em>~Top♥</em>
8 0
3 years ago
Baltimore Company uses a job order cost system and applies overhead based on estimated rates. The overhead application rate is b
natta225 [31]

Answer:

WIP 5,040

Factory Overhead 5,040

Explanation:

\frac{Cost\: Of \:Manufacturing \:Overhead}{Cost \:Driver}= Overhead \:Rate

280,000/25,000 = 11.2 per labour hor

Job labour hors x rate = overhead applied

450 x 11.2 = 5,040

We will increase the work in process, because there is no information about the job being complete.

And we will use the factory overhead account to post the applied overhead

6 0
3 years ago
Other questions:
  • The fund whose main objective is to simply match the market is known as a(n) _____ fund.
    10·1 answer
  • Barney decides to quit his job as a corporate accountant (which pays $10,000 a month) and go into business for himself as a cert
    12·1 answer
  • In a simple graphical model of the supply and demand for pizza with the price of pizza measured vertically and the quantity of p
    5·1 answer
  • Magna Carta was the result of the king's disastrous foreign policy and overzealous financial administration. John had suffered a
    13·2 answers
  • the price of a stock is $45 at the beginning of the year and $50 at the end of the year. of the stock paid a $1 dividend and inf
    13·1 answer
  • Sprint Planning is the only occasion where the Development Team estimates the Product Backlog Items A. True, because without est
    13·1 answer
  • On January 1, 2020, a customer purchased a new $29,400 automobile, making a downpayment of $840. The customer signed a note indi
    12·1 answer
  • Which of the following statements is correct?
    14·1 answer
  • Why, in summary, should managers think of staffing, training, appraising, and paying employees as a talent management process?
    6·1 answer
  • Nedra uses her debit card on a daily basis. The last time she used it was the evening before at a restaurant. This morning, she
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!