Answer:
$160,000
Explanation:
Data provided in the question:
Value of the building acquired = $170,000
Number of shares exchanged = 10,000
Selling price of the stocks = $16 per share
Now,
The amount for which the building will be recorded by Steak Company is the market value of the shares that has been exchanges to acquire the building.
Therefore,
The amount for which the building will be recorded by Steak Company
= Number of shares exchanged × Selling price of the stocks
= 10,000 × $16
= $160,000
Answer:
no
Explanation:
In order to achieve optimal employment level, the ratio of productivity between employees must be equal to the ratio between their wages, e.g. an employee who is 25% more productive, should earn 25% more.
In this case, the productive ratio is 15:20 or 3:4, while the wage ratio is 8:12 or 2:3. Since the wage ratio is lower than the productivity ratio (2:3 < 3:4), the two employees are not optimally employed.
Answer:
$11,895,000
Explanation:
Expected annual earnings before tax = $21,000,000
Debt issue = $30,000,000
Interest rate = 9%
Annual Interest expenses = $30,000,000 × 9%
= $2,700,000
EBT = EBIT - Interest expenses
= $21,000,000 - $2,700,000
= $18,300,000
Net income = $18,300,000 × (1 - 35%)
= $11,895,000
Cash flows available to equity holders after recapitalization will be $11,895,000.
Answer:
$55,500
Explanation:
The computation of the net realizable value after the write off entry is show below:
The credit balance in allowance with terms to bad debts is
= $4,500 - $4,000
= $500
Now the net realizable value is
= ($60,000 - $4,000) - ($4,500 - $4,000)
= $56,000 - $500
= $55,500
Hence, the same is to be considered
Answer:
b. decrease by $1,000
Explanation:
There is an option below the question ask for details
For computing the profit or loss, first we have to determine the variable cost per unit which is shown below:
= Total variable cost ÷ Number of cases sold
= $144,000 ÷ 9,000 cases
= $16 per cases
The total variable cost would be
= $126,000 + $18,000
= $144,000
And, profit per case is $15
So, the loss per case would be
= $15 per case - $16 per case
= -$1 per case
So, the total loss would be
= 1,000 cases × $1
= $1,000 decrease