Answer:
EBIT = $2.076 million
Explanation:
<em>The market value can be ascertained by discounting the earnings after tax by the weighted average cost of capital (WACC).</em>
So we put dis in an equation;
Market Value = Earnings after tax /WACC
<em>Earnings after tax = (1-tax rate ) × EBIT</em>
<em>Note EBIT means earning before interest and tax. And we don't have this figure. So we denote it with letter " y "</em>
Earnings after tax = (1-0.25) × y
= 0.75y
<em>Substitute this into the market value equation, then we have;</em>
Market Value = Earnings after tax /WACC
17.5 = 0.75y/0.089
0.75y = 17.5× 0.089
y = (17.5 × 0.089)/0.75
y = $2.076 million
EBIT = $2.076 million
Answer:
Criminal Science Investigation
false positive rate
phenomenon of unequal and/or unjust distribution of resources and opportunities among members of a given society.
Answer:
Dr accounts payable $2,300
Cr cash $2300
Explanation:
Initially the cost of the purchases=$4600
Returning half of the disc means the left for the discs actually bought is half of the invoice price of $4600 i.e $2,300
By not paying within the discount period implies that the debt stands at $2,300
Without mincing words,payment of $2,300 to the supplier automatically translates to debiting account payable with $2,300 and crediting cash account with the same amount.
The correct answer would :
Dr accounts payable $2,300
Cr cash $2300
This is missing from the options provided.
Answer:
Owners Equity is $7,850
Net Working Capital is $910
Explanation:
Total Assets = Total Liabilities + Owners Equity
($2,350 + $11,100) = ($1,440 + $4,160) + Owners Equity
($13,450) = ($5,600) + Owners Equity
$13,450 - $5,600 = Owners Equity
$7,850 = Owners Equity
Net working capital is calculated as current assets - current liabilities
$2,350 - $1,440 = $910.
True
Because you never know what it is you signing
