1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Vadim26 [7]
3 years ago
12

On September 30, Year 1, Payne, Inc. exchanged some of its shares for all of the common stock of Salem, Inc. in a business combi

nation. Salem continued as a wholly owned subsidiary of Payne. How should Salem's January 1, Year 1, Retained Earnings and income for January 1 to September 30 be reported in Year 1 consolidated statements?
Business
1 answer:
MrRissso [65]3 years ago
6 0

Answer:

Payne should exclude Salem's January 1, Year 1, Retained Earnings and income for January 1 to September 30 from consolidated Retained Earnings and consolidated income

Explanation:

The Retained Earnings of Salem on January 1, Year 1 and and its income during the period between January 1 and September 30 would not be included in the Year 1  consolidated financial statements.

The reason is that The Retained Earnings of Salem on January 1, Year 1 and and its income during the period between January 1 and September 30 are part of the equity of the shareholders that that Payne acquired on September 30, Year 1. They would then be eliminated in the eliminating entry of the consolidating investment.

You might be interested in
Max worked 48 hours last week. What is his gross pay for the week if his regular hourly pay is 13.50
Illusion [34]
The correct answer is $648
6 0
3 years ago
The flow of money in transnational corporations is not balanced. this is true in two ways. explain
AleksAgata [21]
1. Because only 25% of the foreign investment went from MDCs to LDCs.

2. Money is not invested evenly among LDCs (most money went to China).
3 0
3 years ago
On June 18, Wyman Company (a U.S. Company) sold merchandise to the Nielsen Company of Denmark for €60,000 (Euros), with a paymen
rodikova [14]

Answer:

Wyman company should recognize a foreign exchange loss in the amount of $12,600

Explanation:

On the date of sale: £1 = $1.35

So £60,000 = 60,000 × $1.35 = $81000

On the date of payment: £1 = $1.14

So £60,000 = 60,000 × $1.14 = $68, 400

The amount Wyman company received on the date of payment is $12,600 less than the amount it ought to have received on the date of sale.

So Wyman company should recognize a foreign exchange loss in the amount of $12,600

5 0
3 years ago
1) Internal distractions, such as emotions or preoccupations with a line of thought can be detrimental to your driving ability t
WARRIOR [948]
1. True. Anything that distracts the driver from the road <span>can be detrimental to his driving ability to maintain an awareness of the larger driving environment.

2. relative position. Depth perception is the </span>ability to perceive the surrounding environment in three dimensions as well as<span> the distance to an object through vision, whether the object is fixed or in movement, in front, or behind.

3. 4 seconds. That's the time needed when considering speeds up to 70mph.

4. True. All of those components are important for a safe drive - </span><span>vehicle’s operation, position, speed, the condition of the roadway, and the actions of other drivers.

5. 30-36 degrees. </span>It allows a focus for mid distances and blurring of what's around. It is important on a motorway, for example, as what's ahead is the most important once there isn't people or very busy areas around. It is also called of foveal vision. It's important when it comes to understanding the vehicle's position in the roadway, and viewing the line of sight.
7 0
4 years ago
Risky Corporation’s bonds are currently selling for $650 and bear a 5% coupon rate and $1,000 par value. If the bonds pay annual
Naily [24]

Answer:

YTM 10.18%

Explanation:

We can calculate the excel YTM using excel

The YTM will the rate which equals the present value of the bonds and the present value of the maturity

C \times \frac{1-(1+r)^{-time} }{rate} = PV\\

Coupon payment 50 (1,000 x 5% = 50)

time 12

50 \times \frac{1-(1+YTM)^{-12} }{YTM} = PV\\

PVc

\frac{Maturity}{(1 + rate)^{time} } = PV  

Maturity   1,000.00

time   12.00

\frac{1000}{(1 + YTM)^{12} } = PV  

PVm

PV c + PV m = $650.0000

so we got that:

50 \times \frac{1-(1+YTM)^{-12} }{YTM} + \frac{1000}{(1 + YTM)^{12} } = 650  

on excel we will enter on A1 any number value

then on any other cell we will enter the formula for present value of the bond:

=PV(A1,12,50)+1,000/power(1+A1,12)

The we use goal seek on that cell to get 650 changing A1

this give us the rate which is

YTM = 0.101828014 = 10.18%

Because of how the formula for present value works is not possible to solve for rate with a given formula. There are formulas which give an approximation result but are not the excet formula.

the excel formula can only be achieve with trial and error, so we use excel to do it more quickly.

3 0
3 years ago
Other questions:
  • Barredo Corporation's relevant range of activity is 3,000 units to 7,000 units. When it produces and sells 5,000 units, its aver
    6·1 answer
  • A lifelong learner is committed to ________.
    15·2 answers
  • What is consideration​
    8·1 answer
  • Who among the following is associated with contributions to quality control in operations​ management? A. Henry Ford B. W. Edwar
    6·1 answer
  • The Dealey Electric Group produces light bulbs that are used in refrigerator manufacturing. Currently, only three other companie
    9·1 answer
  • What is a good way to guard against disorderly cash records or cash loss?
    8·1 answer
  • The management of L Corporation is considering a project that would require an investment of $260,000 and would last for 6 years
    12·1 answer
  • The tiny isolationist nations of Lorland and Zhangia are considering opening their borders to trade with each other. Both nation
    5·1 answer
  • The ability to offer individually tailored products or services using the same production resources as bulk production is known
    14·1 answer
  • One of the huge benefits of just-in-time production is that the need for _______________ is eliminated.
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!