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2 years ago

Why are debit cards not listed as money?

1 answer:

5 0

Why are debit cards not listed as money? B<span>ecause they perform the same function as checks, and checks are counted as money. Debit cards are sometimes called check cards because they are linked directly to a checking account just as writing a check to someone would be. Since they are essentially serving the same purpose as a check, they are not listed as a money source. </span>

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Suppose NoGro, Inc. has just issued a dividend of $2.90 per share. Subsequent dividends will remain at $2.90 indefinitely. Retur

ira [324]

Answer:

Value of one share will be $19.33

Explanation:

We have given dividend every year = $2.90

Required rate of return = 15 %

We have to find the value of one share

Value of one share will be equal to ratio of dividend per year to the required rate of return

So value of one share $=\frac{2.90}{0.15}=19.13$

So value of one share will be $19.33

5 0

2 years ago

Marker Corp. exchanged an old truck for a piece of equipment and cash on January 1st 2019. The truck was purchased at a cost of

LiRa [457]

Answer:

There is a 1,500 gain

Explanation:

we have commercial subtance so we can recognize gain/loss

these will be the numebrs of the transaction:

truck

purchase 24,000

acc depreciation 17, 000

book value 7, 000

equipment 8,000

cash 500

total 8,500

received - given up = gain/loss

8,500 - 7,000 = 1,500 gain

the journal entry would be

Equipment 8,000 debit

cash 500 debit

acc dep truck 17,000 debit

Truck 24,000 credit

gain on disposal 1,500 credit

3 0

2 years ago

Stock Y has a beta of 1.2 and an expected return of 14.5 percent. Stock Z has a beta of .7 and an expected return of 9.3 percent

emmasim [6.3K]

Answer:

Reward to risk ratio = (Expected return - Risk free rate) / Beta

Reward to risk ratio of Y = ( 0.145 - 0.056) / 1.2

Reward to risk ratio of Y = 0.089 / 1.2

Reward to risk ratio of Y = 0.0741666

Reward to risk ratio of Y = 7.42%

Reward to risk ratio of Z = (0.093 - 0.056) / 0.7

Reward to risk ratio of Z = 0.037 / 0.7

Reward to risk ratio of Z = 0.0528571

Reward to risk ratio of Z = 5.29%

Security market line (SML) reward-to-risk ratio is the market risk premium itself which is 6.6%.

Stock Y has a reward-to-risk ratio that is higher than the market risk premium, it is currently under-valued in the market. Similarly, since stock Z has a reward-to-risk ratio that is lower than the market risk premium, it is currently over-valued in the market.

8 0

2 years ago

Under the georgia safety responsibility law, if you cannot satisfy a claim filed against you for damages resulting from a motor

swat32

Under the Georgia safety responsibility law, if you cannot satisfy a claim filed against you for damages resulting from a motor vehicle collision, your license will be suspended for one year.

Each state has their own standard of laws and what they do as far as license suspencion. Georgia will suspend the license for one year even if another state does it for a shorter or longer period time. Keep in mind each state is different and by checking their moter vehicle websites you can find information regarding their standards of moter vehcile collisions.

8 0

2 years ago

Read 2 more answers

When Castle Corporation pays insurance premiums, the transaction is recorded as a debit to prepaid insurance. Additional informa

atroni [7]

Answer:

$227,500

Explanation:

The computation of the total amount of cash paid is shown below:

Cash paid for insurance premium = Prepaid Insurance at end of the year + Prepaid Insurance recognized - Prepaid Insurance at the beginning of the year

= $61,250 + $218,750 - $52,500

= $227,500

We simply applied the above formula so that the correct amount of cash paid could come with respect to the insurance premium

5 0

3 years ago