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saw5 [17]
3 years ago
13

Koehn Corporation accounts for its investment in the ordinary shares of Sells Company under the equity method. Koehn Corporation

should ordinarily record a cash dividend received from Sells as:_______.a. a reduction of the carrying value of the investmentb. share premiumc. an addition to the carrying value of the investmentd. dividend income
Business
1 answer:
Sever21 [200]3 years ago
6 0

Answer:

A) a reduction of the carrying value of the investment

Explanation:

Under the equity method, the investor company cannot record dividends as revenue, it must record them as a reduction of the carrying value of their investment. Under the equity method, the value of the investment decreases with cash dividends. This transaction involves only a change between assets, investment decreases while cash increases, no additional revenue is recorded.

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7. Problems and Applications Q7 A dozen eggs cost $0.96 in December 2000 and $2.75 in December 2015. The average wage for worker
fredd [130]

Answer: 187%

Explanation:

The percentage increase in the price of dozen egg would be:

= ( 2.75-0.96) × 100/ 0.96

= 1.79 × 100 / 0.96

= 186.45%

The percent increase in the price of dozen egg = 187%

4 0
3 years ago
Chang Industries has 2,500 defective units of product that have already cost $14.50 each to produce. A salvage company will purc
Lubov Fominskaja [6]

Answer:

$27,250

Explanation:

The computation of incremental income or loss on reworking the units is shown below:-

For computing the incremental income or loss on reworking the units first we need to follow some steps which is shown below:-

Incremental revenue per unit = Selling price after rework - Selling price as scrap

= $22.00 - $5.60

= $16.40

Total Incremental Revenue = Incremental revenue per unit × Total defective units

= $16.40 × 2,500

= $41,000

Total rework costs = Total defective units × Defects per unit

= 2,500 × $5.50

= $13,750

Now,

Incremental income or loss on reworking the units = Total Incremental Revenue - Total rework costs

= $41,000 - $13,750

= $27,250

7 0
3 years ago
Categorize each statements as a component of Gross Domestic Product (GDP): consumption, investment, government, or net exports.
Natasha2012 [34]

Answer:

-Consumption: ice cream, a domestically manufactured personal computer, cab fare for personal use, 55 cent tacos, A super bowl ticket bought new from the NFL

- Investments: A domestically manufactured business computer

-Government: A public school teacher

-Net Exports: An exported doll house

Explanation:

Gross Domestic Product is the market value of goods and services produced locally within a given period. GDP includes goods and services produced during a particular time interval. In the past, bargains for products produced are not reflected in GDP. Usually this interval is years or quarters.

Consumption contains produced goods and services. It is used by people to meet their needs and wishes. In the Keynesian economy, consumption means individual consumption expenditure and is indicated by the consumption function. The most important part of the consumption function is the marginal consumption trend. MPC shows what percentage of each new income earned is used for consumption expenditures.

Public expenditure, in economy, indicates the complex of money of public origin that is used by the State in public goods and / or public services aimed at pursuing public purposes, regardless of the nature (public or private) of the obligation that is the title . These are therefore the exits by the state and therefore an item of liabilities within the state budget, the coverage of which is necessarily entrusted to taxation on taxpaying citizens or public debt. Otherwise, the repercussions are of an inflation or devaluation type, depending on the domestic or foreign destination of the capital.

Trade balance (Trade deficit) or Net Export is the balance of trade (export, import) of one country (with other countries). Based on this, the Trade Balance (Foreign Trade Balance) is the relationship between exports and imports. If the country's exports are greater than the import, net exports will be greater than 0, and in this case, the country's foreign trade balance will increase (a positive balance). In a word, the trade balance is positive. Otherwise, net exports will be less than 0 if the country exports are smaller than imports. In this case, the country will have a foreign trade deficit. In other words, the trade balance will be negative. The negative trade balance also indicates that the country needs foreign products in addition to its own products.

7 0
3 years ago
Rudolph has worked tirelessly for his recent promotion. His efforts demonstrate he values
Ugo [173]
2nd choice, achievement
7 0
3 years ago
A partnership began its first year of operations with the following capital balances: Young, Capital $ 143,000 Eaton, Capital $
PtichkaEL [24]

From the information given, the balance that will be in the capital account of Thurman at the end of the second year will be $132860.

The partners account at the end of the second year for Thurman will be calculated thus:

  • Beginning capital = $126100
  • Add: Net income = $19760
  • Less: Drawings = $13000
  • Ending capital = $132860

Therefore, the balance in the account will be $132860.

Read related link on:

brainly.com/question/25758372

5 0
3 years ago
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