Answer:
Diluted earnings per share is $2.87
Explanation:
The extent to which the option would dilute the earnings per share to the extent of the difference between the option of price and the share market price.
The shares that are capable of dilute the earnings can be computed thus:
Market price-option price/market price*outstanding options shares
market price is $36
option price is $30
outstanding options shares is 12,600
($36-$30)/$36*12,600=2,100 shares
Diluted earnings per share=$602,000/(208,000+2100)=$2.87
Answer:
$ 11,799 is the principal balance of the note payable.
Explanation:
The Interest expense for the installment note on the year of the December 31, year can be determined by the following equation that are mention below



Now the Principal balance of the component in $15,179 payment of the December 31, year 1 can be determined by the


=$ 11,799
Answer:
a) $28 Million
b) -$24 Million
Explanation:
The first part of the question is to determine the pension liability tht should be reported in the balance sheet
To do this, we use the following formula
Projected Benefit Obligation - The Plan Assets
= $65 million - $37 Million = $28 Million
Part B) This part says to dettermine the amount JDS would report if the planned asset increase to $89 million
The formula Projected Benefit Obligation - The Plan Assets still should be used but there is a difference as follows
$65 million - $89 Million = -$24 Million
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do
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Answer:
Unsystematic risk
Explanation:
<em>The portfolio theory posits that the total risk on a collection of assets (i,e a portfolio) can be reduced by spreading the invested fund into different assets that are uncorrelated.</em>
<em>According to this model, the total risk on a portfolio is divided into systematic and unsystematic risks. The theory assumed by diversification, the unsystematic risk associated with a portfolio is eliminated.</em>
Unsystematic risk essentially are those unique individual assets for example. if we invest in company stock, risk associated with factors like bad management , law suit against a company, defect in company;s products are example of unique or systematic risks