Answer:
$7,200
Explanation:
The calculation of income that should be presented in the income statement is shown below:-
Dividend Received = Given percentage × Paid dividend
= 12% × $60,000
= $7,200
Therefore for computing the income that should be presented in the income statement we simply applied the above formula.
Therefore the above is the answer
Answer:
financial leverage
Explanation:
Preferred stocks are very similar to bonds since they both yield fixed returns. The difference is that interest paid on bonds is called coupon while interest paid on preferred stock are considered dividends. But they essentially are the same, they both represent debt. The advantage of preferred stock is that when a company doesn't make a profit it doesn't need to pay dividends, while it should always pay coupons.
Whenever you take a loan and use it to finance your business activities, it is called financial leverage. When the investment produces a higher return than the interest paid, the company's equity increases.
Answer:
100 years
53.8 years
10.1 years
18.4 years
Explanation:
country to double given its growth rate
Number of year for GDP to double = 70 / growth rate of country
1. 70 / 0.7 = 100
2. 70 / 1.3 = 53.8
3. 70 / 6.9 = 10.1
4. 70 / 3.8 = 18.4
