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Fiesta28 [93]
3 years ago
14

Purple Corporation has accumulated E & P of $100,000 on January 1, 2019. In 2019, Purple has current E & P of $130,000 (

before any distribution). On December 31, 2019, the corporation distributes $250,000 to its sole shareholder, Cindy (an individual). Purple Corporation’s E & P as of January 1, 2020 is:_______
Business
2 answers:
Lostsunrise [7]3 years ago
8 0

Answer:

The E & P ($20,000)

Explanation:

E & P January 2019     $100,000

For the year E & P       $130,000

Closing E & P December 31,2019   $230,000

Less: Dividends paid                       ($250,000)

Net Deficit in earnings                    ($20,000)

Although dividends are always paid to the extent of retained earnings but in this question, dividends have exceeded earnings which is only and only assumption not a practical world question.

olga55 [171]3 years ago
8 0

Answer:

Purple Corporation’s E & P as of January 1, 2020 is  -$20,000

Explanation:

Given

Accumulated amount =   $100,000

current amount =    $130,000

Distributed amount = $250,000

To know the total amount accumulated, we use the formula;

Total accumulated amount = accumulated amount + current amount had

                                                 =$100,000 +$130,000

                                                 =$230,000

Corporation’s E & P as of January 1, 2020 =

                      Total accumulated amount - distributed amount

                                                       = $230,000 - $250,000

                                                       = -$20,000

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LekaFEV [45]

A company has $100,000 in assets, 1000 shares outstanding, and no debt. If EBIT is $20,000, the interest rate on debt is 10% and its tax rate is 40%, then its EPS is 12 per share.

Earning Per Share (EPS) indicates the agency's profitability by means of showing how a great deal of cash a commercial enterprise makes for each proportion of its stock. The EPS parent is determined by way of dividing the employer's net income by using its outstanding shares of common inventory. however, it's miles taken into consideration the higher the EPS quantity, the more worthwhile the employer.

To find the ESP use the formula

ESP = Net Income / Common Share O/S- Net Income = 20000 - 0 -20000 * (.40) = 12000

ESP = 12000 / 1000 = 12 per share

Therefore Earning per share is 12 per share.

Earnings Before Interest and Taxes (EBIT) is a hallmark of an enterprise's profitability. EBIT may be calculated as sales minus charges with the exception of tax and hobby. EBIT is likewise referred to as running profits, operating earnings, and income before interest and taxes.

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7 0
2 years ago
According to the Level-5 leadership pyramid, managers can become executives who are capable of building lasting greatness into t
notsponge [240]

Answer:

Level 5

Explanation:

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small executive leadership team which is at below level with tiers of managers that have their leading down to the bottom level of team of employees.

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level 5 of the pyramid.

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3 years ago
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A__________is designed to reduce the cost of transporting materials while maintaining safe and reliable delivery.marketing infor
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Answer:

The answer is logistics information system.

Explanation:

Logistics is defined as the process of delivering goods from point of origin to point of consumption through various transportation methods. Logistics management can be very complex, depending on the type of product that the company manufactures or distributes. Because in executing a logistical operation, one requires coordination with multiple parties, a logistics information system would be beneficial in ensuring that the process is done in the most efficient and effective manner .

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3 years ago
As the world is shrinking and businesses are more commonly working on an international level, understanding the differences amon
Eduardwww [97]

Answer:

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3 0
4 years ago
Hill Country BBQ can further process 3,200 pounds of regular brisket to produce GoldStar Prime (G.P.). Regular is currently sell
KIM [24]

Answer:

$4,800

Explanation:

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R = 3,200*(\$7-\$3)\\R=\$12,800

GoldStar Prime revenue (G):

G = 3,200*(\$11-(\$3+\$2.50))\\G=\$17,600

The differential Total Net Revenue (D) is:

D= G - R\\D = \$17,600-\$12,800\\D=\$4,800

The answer is $4,800

5 0
3 years ago
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