Answer:
60 Kits
Explanation:
Cost price (C) = $20/Kit
Yearly se (D) = 250 kit/year
Shipping cost / Ordering cost (Co) = $25
Holding cost (Ch) = $3.5/Kit-year
Economic order quantity = √2.D.Co / Ch
Economic order quantity = √2*250*25/3.5
Economic order quantity = √12500/3.5
Economic order quantity = √3571.4285
Economic order quantity = 59.7614305
Economic order quantity = 60 Kits
Answer:
(C) $1,500 dividend income.
Explanation:
The total AAA available is $15000($10000+$5000(taxable income)).
The total distribution $18000(($6000×2)+($3000×2))
Here since available AAA is $15000 each get deduction of $7500($15000×500shares/1000shares).Hence $1500(i.e $6000+$3000-$7500) is taxable.
Answer:
Whelan, Inc.
The cash flow to stockholders for the year is $159,000, representing the cash dividends paid during 2019.
Explanation:
Cash flow to stockholders is the amount of cash that a company pays out to its shareholders, usually in the form of cash dividends. Mainly, cash flows to stockholders in two major ways: dividends and stock price increases when shares are sold. Dividends are cash flows to stockholders from the company. These are usually determined by the board of directors. Stock price increases are cash flows to stockholders from the stock exchange market. They are determined by the company's performance and the sentiments of the investors in an open market with reference to the company's financial performance and position.
