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3 years ago

When a company exchanges 200 shares of stock worth $20 each for 100 shares worth $40 each, they are using?

1 answer:

6 0

When a company exchanges 200 shares of stock worth $20 each for 100 shares worth $40 each, they are using reverse stock split.
A reverse stock split is a corporate action in which a firm or a company reduces the number of shares it has outstanding by a set multiple. For example, if a company announces a reverse stock split of 1:50, this means that once the split occurs investors will receive one share for every 100 shares they own.

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Which of the following is most likely to be considered revenue, according to the Financial Accounting Standards Board’s definiti

sesenic [268]

Answer:

A web streaming company fulfills a 12-month service term paid by customers in advance.

Explanation:

Revenue is recognized from services rendered or goods delivered. It is recognized only when the risk and reward is transferred, further it relates to the normal business of company.

As in the first sentence the company makes scientific devices and it sales an agricultural land, that is sale of fixed asset.

In second case the pharmaceutical company receives donation which is anonymous.

All the things are not revenue for company.

It is only the web streaming company which shall recognize revenue as the services are rendered and revenue shall be recognized related to normal business of company.

8 0

3 years ago

simmons company issued four-year bonds with a par value of $1,000,000. the bonds have a 4% coupon rate and interest is payable s

VLD [36.1K]

Simmons Company issued four-year bonds with a $1,000,000 par value. Interest is due semi-annually on the bonds, which have a 4% coupon rate. The market interest rate is 6%. $1002402.88 must Simmons pay investors in interest on a semi-annual basis.

The Indeed Editorial Team is made up of a brilliant and diverse group of writers, researchers, and subject-matter experts who use Indeed's data and insights to provide helpful advice for navigating your career path.

Understanding how loans and investments operate is essential to laying a solid financial foundation for both you and your company. How interest is calculated is one of the key aspects of loans and investments. Your loans and investments may have simple interest or compound interest terms. You will discover what it implies, why it matters, and how to compute interest that is compounded semiannually interest in this post.

Learn more about semiannually interest here

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7 0

1 year ago

A city mandates that all businesses who sell goods and services to the city must pay at least a living wage to their workers tha

ankoles [38]

Answer:

c. Higher-skilled workers are readily available at the higher wage.

Explanation:

the government decree would make the cost of hiring low skilled labour higher. As, a result there would be a reduction in the quantity demanded of low skilled labour.

if High skilled workers are readily available at the higher wage this would lead to a greater decrease in employment of low-skilled workers. Employers would ask themselves why pay the same high wages high skilled labour earns to low skilled labour when high skilled labour can be hired at the same price since most likely higher skilled workers would carry out the tasks better than lower skilled labour ?

4 0

3 years ago

You are considering the following two mutually exclusive projects. The crossover point is _____ and Project _____ should be acce

Romashka [77]

Answer:

13.28%; B

Explanation:

Project A Project B Differential

Year 0 -$21,000 Year 0 -$21,000 0

Year 1 $7,000 Year 1 $15,000 -$8,000

Year 2 $7,000 Year 2 $5,000 $2,000

Year 3 $15,000 Year 3 $7,000 $8,000

the discount rate = 14%, the NPV is:

NPV project A = -21,000 + 7,000/1.14 + 7,000/1.14² + 15,000/1.14³ = $651

NPV project B = -21,000 + 15,000/1.14 + 5,000/1.14² + 7,000/1.14³ = $730

if the discount rate is 14%, project B should be accepted (higher NPV)

the crossover rate is the discount rate where both NPVs are equal.

we must find the IRR using an excel spreadsheet and the IRR function:

=IRR (0,-8000,2000,8000) = 13.28%

3 0

3 years ago

Antique Brass Company has budgeted sales volume of 127 comma 000 units and budgeted production of 110 comma 000 units, while 30

olga55 [171]

Answer:

13,000 units

Explanation:

The excess of budgeted sales over budgeted production = 127,000 - 110,000 = 17,000 units. In other words, this is the number of units that the company will be in short of.

The company has 30,000 units in beginning inventory, thus the amount of ending finished goods inventory will be = 30,000 - 17,000 = 13,000 units

7 0

3 years ago