Answer:
$47
Explanation:
Given that,
Required return = 11.00%
Expect a growth rate = 6.00%
Expected to pay a dividend next year = $2.35
Stock Price:
= Dividends (Div) ÷ (Expected Return (R) - Dividend Growth Rate (G))
= $2.35 ÷ (11% - 6%)
= $2.35 ÷ (5%)
= $47
Therefore, the current fair price for the stock is $47.
Answer:B. Running his own small farm.
Explanation:
Having got the exprience in running a farm, couple with his financial and managerial knowledge from Accounting will help him to be successful.
The answer in the space provided is 'coming from'. It is because the countries like China and India has government which has less over sight which enables them to transport goods from chemical manufacturers because of their government that are not that strict in terms of transporting goods to other countries compared to others countries that have more over sight and are more strict.
Complete Question:
Shown below is a trial balance for Novelty Toys, Inc., on December 31,after adjusting entries:
Novelty Toys, Inc.
Trial Balance December 31
Cash $7,750
Accounts Receivable $6,375
Office Equipment $11,250
Accumulated Depreciation $3,000
Accounts Payable $3,875
Capital Stock $11,250
Retained Earnings $0
Dividends $3,750
Fees Earned $22,750
Salaries Expense $8,000
Advertising Expense $1,625
Depreciation Expense <u>$2,125 </u> <u> </u>
$40,875 $40,875
The total debits in the After-Closing Trial Balance will equal:
Select one:
a. $25,375.
b. $29,125.
c. $40,875.
d. $18,125.
Answer:
$25,375
Explanation:
The After-Closing Trial Balance is prepared once the closing entries are posted. This results in closing of expense and income accounts for the year and the resulting balance taken forward to retained earnings. This means that After-Closing Trial Balance would contain only permanent general accounts which are balance sheet items. In the given scenario, the balance sheet debit balances are as under:
Cash $7,750
Accounts Receivable $6,375
Office Equipment <u>$11,250 </u>
Total Debit Balance <u>$25,375</u>
Hence the option A is correct.
Answer:
The answer is loss of $10,000 on the sale of the equipment
Explanation:
The formula for straight-line depreciation is:
(Cost of asset - salvage value) ÷ number of useful life.
Cost of asset is $250,000
Salvage value is $50,000
Useful life is 5 years
So depreciation for the year is:
($250,000 - $50,000) ÷ 5 years
$200,000 ÷ 5 years
=$40,000
January 1 2010 through June 30 2013 is 3 years and 6months
Accumulated depreciation will be:
3.5 years( 3 years + 6months/12 months) x $40,000
$140,000
Carrying value or net book value at this date is $250,000 - $140,000
=$110,000.
The equipment was sold for $100,000.
Selling price - carrying value
=$100,000 - $110,000
= - $10,000
We have a loss of $10,000 on the sale of equipment
