Answer:
Net equity is $727,500.
Explanation:
Statement of Owner's Equity:
Share Capital $781,000
Withdrawals $19,000
Net Loss $34,500
Net equity $727,500
Answer and Explanation:
In the case of proprietorship
net profit is
= Operating income - operating expenses
= $220,000 - $175,000
= $45,000
Since the long term capital loss is given i.e. $10,000 so the same is to be considered
In the case of C Corporation
Since no dividend is paid so here the net profit and the long term capital loss would be zero
Answer:
D) $2,900.
Explanation:
The computation of the net income is shown below:
= Revenue on account - Expenses for the period
= $5,000 - $2,100
= $2,900
To determine the net income we subtract the expenses incurred for the period from the revenues so that the accurate amount could come.
This net income would be reflected at the time of preparing the retained earning statement
Based on the given statements above, the correct answer would be option D. The statements that apply to a bond which is selling at a premium would be statement I. The market value exceeds the par value; statement II: The selling rate is above 100; and statement III. <span>It is sold by corporations, not by the government. Hope this helps.</span>
Answer:
D; $2.44
Explanation:
In this question, we are asked to calculate expected year-end dividend D1 for a particular stock.
Mathematically,
Current stock price = Expected year end dividend/(Required return rate - growth rate)
Using the information in the question, we identify the following;
Current stock price = $57.50
Expected year end dividend = ?
Required return rate = 10.25%(0.1025)
Growth rate = 6%(0.06)
We can rewrite the equation as ;
Expected year end dividend = Current stock price * (Required return rate - Growth rate)
= 57.5 * (0.1025 - 0.06) = 57.5 * 0.0425 = $2.44375
Hence, the expected year-end dividend D1 = $2.44