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ohaa [14]
4 years ago
14

Park Co.'s wholly-owned subsidiary, Schnell Corp., maintains its accounting records in Pounds Sterling. Because all of Schnell's

branch offices are in Germany, its functional currency is the Euro. Remeasurement of Schnell's 20X8 financial statements resulted in a $7,600 gain, and translation of its financial statements resulted in an $8,100 gain. What amount should Park report as a foreign exchange gain in its other comprehensive income for the year ended December 31, 20X8?A. $-0-
B. $7,600
C. $8,100
D. $15,700
Business
1 answer:
MrRissso [65]4 years ago
3 0

Answer:

C) $8,100

Explanation:

A foreign exchange gain happens when one company engages in foreign trade or foreign direct investment and when they convert the foreign currency into domestic money, the final amount is larger than originally expected. This happens because the exchange rate is not fixed, and if the foreign currency appreciated, then a gain will result since more domestic money will be received. On the other hand, if the foreign currency depreciates, this will result in a loss.

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June Smith, a process engineer, has sold her 15-year patent for a new etching process to Silica Labs, Inc. In return, she has re
Oduvanchick [21]

Answer: D. Current ratio will decrease and total debt to equity ratio will decrease.

Explanation:

The Current ratio is calculated by dividing the firm's current assets by it current liabilities. This transaction will have the effect of reducing the cash account of Silica Labs by $500,000 which means the numerator will be less in the equation which would lead to a lesser Current ratio.

The total debt to equity ratio is calculated by dividing the firms's total debt by its equity. Silica offered equity to June thereby increasing their equity account. This will mean that the denominator has increased in the equation which will lead to a lesser total debt to equity ratio.

8 0
3 years ago
A manager makes the following statement to a subordinate: "I need this report back in five minutes, and it better be perfect." W
Gelneren [198K]

Answer:

The correct option is A. Intrasender role conflict

Explanation:

In the world of business, role conflicts can be described as the tensions which arise between the role giver (like boss or manager) and the role receiver (like the worker or employee).

Intra-Sender role conflict is a type of role conflict in which arises when the role giver wants the role receiver to perform a contradictory action and sets a limit to perform that function. The limit might not be appropriate for the completion of that task. For example, in the question, the manager is asking the worker to give back the report in a limit of five minutes. Hence, it is an intra-sender role conflict.

6 0
4 years ago
Which type of data do researchers collect the personal interviews?
STALIN [3.7K]

Answer:

The correct answer is "Face-to-face interviews".

Explanation:

  • Face-to-face surveys or interviews are an important way of gathering information used throughout survey methodology.
  • Throughout these interviews, research teams are collecting location information from participants across one cooperation or bonding. This method of collecting information seems to be unique or even just highly personalized.
7 0
3 years ago
Which of the following statements is CORRECT?
marusya05 [52]

Answer:

D)The optimal capital structure is the one that simultaneously (i) maximizes the price of the firm's stock, (ii) minimizes its WACC, and (iii) maximizes its EPS.

Explanation:

When the weighted average cost of capital (WACC) decreases, the company's profit increases.

So a capital structure that minimizes the WACC will maximize its profits, leading to a maximization of the earnings per share (EPS) and the price of the company's stock. The more the company makes, the higher the price of its stock and the higher its EPS.

3 0
3 years ago
Awnings Incorporated has beginning net fixed assets of $234,100 and ending net fixed assets of $243,600. Assets valued at $42,50
bazaltina [42]

Answer:

Net Capital Spending = $72,000

Explanation:

Formula for Net capital Spending:

Net Capital Spending = Net Increase in Fixed Asset + Depreciation

Net Capital Spending = ( $243,600 - $234,100 ) + $62,500

Net Capital Spending = $9,500 + $62,500

Net Capital Spending = $72,000

Sale of asset is already accounted for in the ending net balance of fixed assets.

5 0
4 years ago
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