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denpristay [2]
3 years ago
11

Timothy McGreggor, Attorney, P.C., began the year with total assets of $129,000, liabilities of $77,000, and stockholders’ equit

y of $52,000. During the year, the business earned revenue of $113,000 and paid expenses of $34,000. The business also paid cash dividends of $63,000. How much is the business’s equity at year-end?
Business
1 answer:
Ahat [919]3 years ago
7 0

Answer:

Ending stockholders' equity $ 68.000

Explanation:

The net income for the year is Revenue - Expenses

so $ 113,000 - $34,000     =   Net Income $ 79,000

Stockholders Equity at end of year

Opening stockholders' equity                 $  52,000

Add: Net income for the year                  $  79,000

Less: Dividends Paid                                <u>$ (63,000)</u>

Ending stockholders' equity                    $  68,000

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Pal Corp.'s 2004 dividend income included only part of the dividend received from its Ima Corp. investment. The balance of the d
VashaNatasha [74]

Answer:

Fair Value method, and only a portion of Ima's 2004 dividends represent earnings after Pal's acquisition.

Explanation:

The part of the dividend that reduce the carrying value of the investment can be said to be a liquidating dividend. Liquidating dividend is said to have occurred when the payment made by the investee is higher than the income that was earned in the course of the period in which the shares of the investee was owned by the investor.

On the other hand, the cost method treats liquidating dividends as spend or reduction in the investment account and treats normal dividend as income. Hence it is impossible for the firm to use equity method.

This is because dividend are seen as a reduction in investment account under the equity method. This means that dividends received cannot be taken as income in this method, hence C and D are wrong.

7 0
3 years ago
Which phrase best describes the purpose of a slide master? Check all that apply.
Ksju [112]

Answer: to establish the layout of all slides, or a group of slides, in a presentation.

to determine the theme of all slides, or a group of slides, in a presentation.

to allow users to apply changes in layout or theme to an entire presentation.

Explanation:

It should be noted that the Slide Master refers to the top slide which controls the information regarding the background, fonts, theme, layout, and color of all the slides in Microsoft PowerPoint.

The phrase best describes the purpose of a slide master include:

• to establish the layout of all slides, or a group of slides, in a presentation.

• to determine the theme of all slides, or a group of slides, in a presentation.

• to allow users to apply changes in layout or theme to an entire presentation.

Therefore, the correct options are C, D and F.

8 0
3 years ago
What style of leadership is grounded in the exchange relationship between the leader and the follower
Annette [7]

Answer: Transactional leadership

Explanation:

Transactional leadership a style of leadership that grounded in the exchange relationship between the leader and the follower.

For transactional Leadership, promotion of compliance is done through both rewards and punishment.

7 0
3 years ago
Which of the following describes accrued revenue? (Check all that apply) Multiple select question. The adjustment causes an incr
vaieri [72.5K]

Answer:

  • The adjustment causes an increase in an asset account and an increase in a revenue account.
  • Accounts receivable is usually increased when accruing revenues.
  • They refer to revenues that are earned in a period, but have not been received and are unrecorded.
  • They refer to earnings which have been earned but not yet billed.

Explanation:

Accrued revenue refers to cash earned for selling a good or delivering a service yet the cash has not been received and the transaction was not recorded in the books as revenue. This means that the cash has been earned but it has not been billed to the customer it was earned from.

When the books are being adjusted for this, the accounts receivable - which is an asset account - will increase to show that cash is owed. Revenue will also increase as this was cash earned from delivering a good or service.

6 0
3 years ago
Productivity is a measure of:
Crazy boy [7]

I think the answer you're looking for is 'D' if you're asking what productivity is in a generalized sense.

5 0
3 years ago
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