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creativ13 [48]
3 years ago
10

First Link Services granted 20 million of its $1 par common shares to executives, subject to forfeiture if employment is termina

ted within five years. The common shares have a market price of $8 per share on the grant date of the restricted stock award. 1. Ignoring taxes, what is the total compensation cost pertaining to the restricted shares? 2. Ignoring taxes, what is the effect on earnings in the year after the shares are granted to executives?
Business
1 answer:
aivan3 [116]3 years ago
8 0

Answer:

(a).  $160 million

(b).  32 million  

Explanation:

According to the scenario, computation of the given data are as follows:-  

We can calculate the Total compensation cost pertaining to the restricted shares by using following formula:-

a). Total Compensation Cost Pertaining to the Restricted Shares = Common Share × Market Price Per Share

= 20 million × $8

= $160 million

B). Effect on Earnings in the Year After the Shares are Granted to Executives = Total Compensation Cost ÷ Terminated Year

= $160 million ÷ 5

= 32 million  

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Brad is a sales representative for a Kettle Chips and is preparing for a Super Bowl promotional campaign. He's contacting each o
alexdok [17]

Answer:

point-of-purchase advertising.

Explanation:

In this scenario, Brad is contacting each of his grocery and convenience accounts with an opportunity to install an end-of-aisle display with graphics of the Super Bowl teams and a display of several varieties of chips.

Hence, this is known as point-of-purchase advertising, a type of trade-oriented promotion.

A point of purchase advertising can be defined as a marketing strategy used by retailers, which typically involves the placement of end user goods e.g graphics of the Super Bowl teams strategically placed in a supermarket aisle for retail customers.

7 0
3 years ago
Assume each month has 30 days and AmDent has a 60-day accounts receivable period. During the second calendar quarter of the year
AlladinOne [14]

Answer:

The correct answer is E

E. February, March and April

Explanation:

Payment for February will be received in April

Payment for March will be received in May

Payment for April will be received in June

the second quarter is April. May and June

5 0
3 years ago
____________ comprise about 20% of all businesses but account for about 81% of u.s. business receipts.
alisha [4.7K]

Answer:

<u>Corporations </u>  comprise about 20% of all businesses but account for about 81% of u.s. business receipts.

Explanation:

A corporation is kind of a business that is set up by a legal organization headed by a person or several partners together. Examples including Microsoft, Apple Inc. etc

While corporations make up just 20% of registered businesses, they are usually quite larger and have national foot print. They can employ thousands of people, have a number of subsidiary companies and work with hundreds of smaller businesses.

Hence, while they are smaller in number, their impact on the economy is very large.

4 0
3 years ago
Why might long-term interest rates go down at the same time that the federal reserve pushes short-term rates up?
mart [117]
<span>Because the federal reserve would want to discourage quick investments or want people to save more money right now. Long term rates would go down because these are well thought out infrastructure projects that are good for the long run.</span>
3 0
3 years ago
All else the same, if a bank's liabilities are more sensitive to interest rate fluctuations than are its assets, then ________ i
Bad White [126]

Answer:

A) an increase; reduce

Explanation:

All else the same ,if a bank liabilities are more sensitive to interest rate fluctuations than are its assets, then an increase in interest rates will reduce bank profits.

A bank is said to be sensitive towards to interest rates means that the bank revalue its liabilities on the basis of the change in the interest rates. Thus if the interest rates increases it means the liabilities of the bank has increased on which the bank is liable to pay higher interest which will automatically reduce the bank profits as the interest payable by the bank is an expense for the bank.  

6 0
3 years ago
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