Answer:
The correct answer is option A.
Explanation:
The present value of all free cash flows gives the share value under the free cash flow approach to valuation. It is also called a discounted cash flow valuation.
Answer:
The amount that Plunkett should report in ending inventory on December 31 is $156,300
Explanation:
The computation of the ending inventory is shown below:
= Ending inventory balance - FOB destination goods purchased - goods being held on consignment
= $215,500 - $44,100 - $15,100
= $156,300
The other items would not be adjusted because the other items are not included in the ending inventory so they are not being considered in the computation part.
Answer:
a steering wheel in an automobile.
Explanation:
Abba Lerner a twentieth-century economist, is widely known for his suggestion of the utilization of fiscal policy and monetary policy as a form of Keynesian economics. In his analysis, he declared that fiscal and monetary policy is analogous to a steering wheel in an automobile.
Hence, the correct answer to the question is "a steering wheel in an automobile."
Answer:
d. decrease in the quantity of milk demanded.
Explanation:
The law of demand states that there is an inverse relationship between price and quantity demanded. An increase in price will result in a decrease in price and vice versa.
So in this case an increase in the price of milk will result in a decrease in quantity of milk demanded.
This is illustrated in the attached diagram.
Answer: Please see below for answer
Explanation: To calculate dividends, we use the formulae
Dividend =(Number of shares issued -treasury stock held) x Dividend per share =
where number of shares issued = $18,000
treasury stock held = 6000 shares
Imputing the values in formulae becomes
($18,000 - $6000) x 0.80 = 12,000 x 0.80 = $9,600
Journal entry to record declaration of dividends of Capstone Inc.
Account Debit Credit
Dividend $9,600
Dividend payable $9,600
