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Shalnov [3]
3 years ago
6

Stadford, Inc. is financed with 40 percent debt and 60 percent equity. This mixture of debt and equity is referred to as the fir

m's:
A. capital structure.
B. capital budget.
C. asset allocation.
D. working capital.
E. risk structure.
Business
1 answer:
miss Akunina [59]3 years ago
3 0

Answer: (A) Capital structure

Explanation:

The capital structure is basically refers to the overall financial operation in an organization for the growth of the company. The combination of the debt and the equity is basically known as capital structure.

The equity is basically refers to the common and the preferred stock and the debt is one of the form of bond issue.

Therefore, the mixture of 40 percent debt and the 60 percent of the equity is refers to capital structure.

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Dennis_Churaev [7]

<u>Solution and Explanation:</u>

Date  General Journal                                 Debit  Credit  

January 1, 2017  Cash/Liquidity Finance Co.  680000    

 Computer system                                             600000  

 Profit on sale of computer system              80000  

To record the sale of computer systems          

January 1, 2017  Lease Rental                       115970    

 Cash                                                              115970  

To record the first lease rental of the lease                  Journal entries in the books of lesser(Liquidity Finance Co.)    

                                                               Amount in $  

Date  General Journal                                          Debit  Credit  

January 1, 2017  Computer system           680000    

 Cash/Elmer's Restaurants                            680000  

To record the purchase of computer systems        

January 1, 2017  Cash                               115970    

 Lease Rental Income                                             115970  

To record the first receipt towards lease rental of the lease      

December 31, 2017  Depreication on computer system 68000    

 Accumulated depreication on computer system           68000  

To record the depreication expense for the year    

 

5 0
3 years ago
Growing chocolate is important to West African economies but they do not make as much money as the multinational companies that
kupik [55]

Answer: The name of the ghanaian brand is "57 chocolate"

Explanation:

57 Chocolate belongs to two sisters

Priscilla and Kimberly Addison, the creators of 57 chocolate, made in Ghana by Ghanaians, for Ghanaians. Their chocolates which come in dark, milk, white chocolate, mocha latte and bissap flavours are uniquely packaged in adinkra symbol shapes. and is the pioneer bean to bar chocolate business in Ghana. This venture uses resources grown within the country to create delicious chocolate

7 0
3 years ago
Presented below is information related to Cheyenne Corp., which sells merchandise with terms 2/10, net 60. Cheyenne Corp. record
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Answer:

Detailed solution is given in the tabular form below:

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Its the study of formal validity without a focus on everyday usages of critical thinking
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April 30 May 31
Sonbull [250]

Solution:

The record entry in accounting is the reporting of a report in an accounting document that displays the company's costs and credit balances. The amount of the payments must be equivalent to the sum of the credits otherwise the journal submission must be treated as unbalanced.

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                                    Pass journal entry

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Raw material inventory  (WN1)              210,000

                       Cash                                                         210,000

Work in process                                     186,000

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Factory overhead                                  15,000

           Raw material inventory                                       15,000

4 0
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