Jan. 1, 2013:
Initial investment = (100 shares)*($30/share) = $3,000.
End of 2013:
Dividend collected = ($2/share)*(100 shares) = $200
End of 2014:
Dividend collected = ($3/share)*(100 shares) = $300
End of 2015:
Dividend collected = ($4/share)*(100 shares) = $400
Returns::
From sales of 100 shares = ($33/share)*(100 shares) = $3,300
From dividends = 200 + 300 + 400 = $900
Total returns = 3,300 + 900 = $4,200
Realized returns = Total returns - Initial inestment
= 4200 - 3000
= $1,200
Answer: $1,200
Answer:
The Jerry's partnership basis in the bookstore at the end of the year is $23,350.
Explanation:
Workings
Contributed Capital = $ 8,000
Add: Adjusted basis of cash register = $ 350
Add: Share of Profit ($60000 X 25%) = $ 15,000
Partnership basis at the end of the year = $ 23,350
Answer:
Predetermined overhead rate
Explanation:
The predetermined overhead rate is the rate that is computed by taking the estimated manufacturing overhead and the same would be divided by allocation factor that could be estimated direct labor, estimated direct hours, etc in order to assign the overhead cost
So according to the given situation, the first option is correct i.e. predetermined overhead rate
Answer:
organization expenses.
Explanation:
A corporation can be defined as a corporate organization that has facilities and owns or controls assets used for the production of goods and services in at least one country other than its headquarter (home office) located in its home country.
This ultimately implies that, a corporation is a corporate organization that owns or controls its business in two or more countries.
Some examples of multinational firms are Ap-ple, Volkswagen, G-oogle, Shoprite, Nestlé, Accenture, Shell BP, Chevron etc.
The costs of bringing a corporation into existence, including legal fees and promoter fees, are called organization expenses.
Answer:
A. $840,000
B. Discount
C. Annual interest expense on these bonds will be more than the amount of interest paid each year.
Explanation:
Data
Bonds issued = $21,000,000
Coupin rate = 4.0%
Market Interest rate = 4.46%
Requirement A: Annual interest amount
Interest amount = Bonds issued x coupon rate
Interest amount = $21,000,000 x 4.0%
Interest amount = $840,000
Requirement B: Whether it is Premium or Discount?
Bonds that Atom Endeavour Co. issued are discount as you can clearly see in the data that the market rate is higher than the coupon rate. Investors who will buy these bonds surely expect a capital gain.
Requirement C:
The discount on the issue of bonds is amortized to interest expense over the life of the bond, therefore the interest expense on these bonds will be more than the amount of interest paid each year,
