Answer:
$5.50 dividend per share to common stock
Explanation:
In case a company has cumulative preference shares then the company has to pay preference dividend in arrears
Here, preference dividend was not paid in the year 2017
Preference dividend for 2017 = 500 
$100 4%
= $2,000
Since the dividend is paid in between the year 2018, dividend is paid for the year 2017 and not for 2018 thus preference dividend is for a year, only for 2017
Therefore, dividend to common equity = $35,000 - $2,000 = $33,000
Dividend per share = $33,000/6,000 = $5.50 per share
Economic profit is calculated as:
Economic profit = Total Revenues – Total Cost
Total cost both includes explicit and implicit cost. In
this case, the explicit cost is $8,000 while the implicit cost is $64,000.
Explicit cost is a direct payment made to run the business while implicit cost
is the opportunity as accountant that is lost. Therefore,
Economic profit = $150,000 – ($8,000 + $64,000)
<span>Economic profit = $78,000</span>
Answer:
B. Holly's statement is normative, but Ben's is positive.
Explanation:
Positive statements are based on objective deduction of what is, or was. It is based on facts. Ben's comment "an increase in the tax on beer will raise its price", is an example of positive statement.
Normative statements are subjective and based on individual values and judgement. In her statement Holly appears to be biased against drinking much. She says "taxes should be increased on beer because college students drink too much." Is a normative statement.
Answer:
335.43 million gallons
Explanation:
price elasticity of demand (PED) = % change in quantity demanded / % change in price
PED = -1.9% / 10% = -0.19, very inelastic
expected price increase $0.40
% change in price = ($3.45 - $3.05) / $3.05 = 13.11%
% change in quantity demanded:
-0.19 = D / 13.11%
D = 2.49%
quantity demanded will decrease by 2.49%, from 344 million gallons to 335.43 million gallons
Answer:
1. threats to the company
2. is product
3.true
4. sending out press release
