Answer:
The amount of the net new equity raised during the year is $34,000.
Explanation:
Net new equity = total equity - common stock - paid-in surplus - (retained earnings + net income - paid dividends)
= $142,430 - $55,000 - $11,200 - ($48,420 + $26,310 - $32,500)
= $34,000
Therefore, the amount of the net new equity raised during the year is $34,000.
Answer:
It will capitalize 245,000 to recognize the patent intangible asset
Explanation:
It will capitalize the entire research adn development cost as well as the fees and registration cost as are part of the incurred cost needed to obtain the patent
Therefore: 204,000 + 41,000 = 245,000
Answer: variable budget
Explanation: In simple words, variable budget refers to the budget statement which shows how much different costs would vary if the level of activity as per standards set increases or decreases.
These are also called flexible budget and are made on the basis of current level of output. These budgets provides flexibility to the management with respect to both best case and worst case scenarios.
From the above we can conclude that the correct answer is variable budget.
