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erastova [34]
3 years ago
12

Cassandra's Boutique has 2,100 shares outstanding at a market price per share of $26. Sally's has 3,000 shares outstanding at a

market price of $41 a share. Neither firm has any debt. Sally's is acquiring Cassandra's for $58,000 in cash. The incremental value of the acquisition is $2,500. What is the value of Cassandra's Boutique to Sally's?
A. $26,000
B. $27,600
C. $57,100
D. $58,200
E. $60,500
Business
1 answer:
Schach [20]3 years ago
7 0

Answer:

E. $60,500

Explanation:

The value of Cassandra's Boutique to Sally's = Cash paid for the acquisition + Incremental cost = $58,000 + $2,500 =  $60,500

Therefore, the value of Cassandra's Boutique to Sally's is $60,500.

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Responsibility report for the financial period of the overhead costs incurred will have a negative shortfall and a difference of $4125 for the controllable costs.

<h3>What are overhead costs?</h3>

Overhead costs are such costs which are continuously in an organization while operating in the regular course of business. The overhead costs are estimated before they are actually incurred for efficiency of cost allocation.

The responsibility report for the overhead costs incurred by Malone Company for the given period are attached with an image for better reference.

Hence, it can be stated that the controllable costs' responsibility report shows as overhead costs of negative difference of $4125.

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2 years ago
You are a recent college graduate who has just landed your first job. The company that hired you has
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3 years ago
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Answer:

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