Answer:
Credits are made to Common Stock $30,000 and Paid in capital in excess of Par value $12,000
Explanation:
The journal entry is shown below;
Cash $42,000 (3,000 shares at $14)
To Common Stock $30,000 (3,000 shares at $10)
To Paid in capital in excess of par value $12,000 (3,000 shares at $4)
(Being issuance of the common stock is recorded)
Here cash is debited as it increased the assets and credited the common stock & paid in capital as it also increased the stockholder equity
Answer:
the price earning ratio is 8.33
Explanation:
The computation of the price earning ratio is shown below:
P/E Ratio is
= share price ÷ Earning Per share
where,
The price of a share is
= 3 × 106
= $3.18
And, the earning per share is
= $4 × (1.06) ÷ (0.15 - 1.06)
So, the price earning ratio is
= (3 × (1.06) ÷ 4(1.06)÷ (0.15 -0.06))
= 8.33
Hence, the price earning ratio is 8.33
Answer:
option (B) 100
Explanation:
Data provided in the question:
Number of days supplier takes to deliver an order once it has been placed i.e the lead time = 25 days
Standard deviation of daily demand = 20
Now,
Standard deviation of usage during lead time
= Standard deviation of daily demand × √(Lead time)
= 20 × √25
= 20 × 5
= 100
Hence,
The answer is option (B) 100
Answer: -13.35%
Explanation:
Based on the information given in the question, the annual rate of return on this painting will be calculated thus:
Sales price of painting = $1,080,000
Cost price of painting = $1,660,000
The sales Price formula is given as
= Cost price × (1 +r)³
1080000 = 1660000 × (1+r)³
1,080,000/1,660,000 = (1+r)³
0.65 = (1 + r)³
Annual rate of return r will now be:
= 0.6506^⅓ - 1
= -13.35%
Answer:
The correct option is (C)
Explanation:
To be able to claim somebody as a dependent, the person has to qualify 4 tests. They are:
- Lineal descendant
- Must live with the taxpayer for more than a year
- Should be below 19 years or under 24 if a full time student
- Cannot file return on their own.
If a person who is not a lineal descendant to be claimed as a dependent needs to be a part of taxpayer's household for 365 days (whole year).
In this case, taxpayer's cousin is not a lineal descendant. Rest of them (sister, father and son-in-law) are lineal descendants. So, cousin has to stay with the taxpayer for the entire year.
