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ololo11 [35]
3 years ago
8

Rick Co. had 30 million shares of $1 par common stock outstanding at January 1, 2021. In October 2021, Rick Co.'s Board of Direc

tors declared and distributed a 1% common stock dividend when the market value of its common stock was $60 per share. In recording this transaction, Rick would:
Business
1 answer:
Pie3 years ago
8 0

Answer:

The journal entry is as follows:

Retained earnings A/c Dr. $18 million

        To common stock                        $0.30 million

        To capital paid in excess A/c      $17.70 million

(To record the stock dividend issued at 1%)

Working notes:

Shares issued = 1% of 30 million

                        = 0.30 million

Retained earnings:

= 0.30 million × $60 per share

= $18 million

Common stock:

= 0.30 million × $1 par value

= $0.30 million

Capital paid in excess:

= Retained earnings - Common stock

= $18 million - $0.30 million

= $17.7 million

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An analysis of the general ledger accounts indicates that delivery equipment, which cost $75,000 and on which accumulated deprec
earnstyle [38]

Answer:

Explanation:

Basically there are three types of activities:

1. Operating activities: It includes those transactions which affect the working capital, and it records transactions of cash receipts and cash payments.

2. Investing activities: It records those activities which include purchase and sale of the fixed assets

3. Financing activities: It records those activities which affect the long term liability and shareholder equity balance.  

So, the items reported or not reported is shown below:

1. $75,000 cost of office equipment - not reported

2. $58,000 accumulated depreciation - not reported

3. $20,200 sales price - investing activities - added

4. $3,200 gain on sale of equipment - operating activities - deducted

6 0
3 years ago
Tyree's basketball coach makes his players practice free throws after a difficult practice and under the threat of having the wh
Zinaida [17]
<span>Tyree's coach is likely trying to instill teammate dependability in his players by making them run laps if their teammates do not get at least 75% of their free throwns in.</span>
3 0
4 years ago
As an oligopoly firm produces at a higher output, economies of scale allow the costs per unit (atc) to _____________ significant
asambeis [7]

As an Oligopoly firm produces at a higher output, economies of scale allow the costs per unit (ATC) to <u>decline</u> significantly.

When firms in an oligopoly market individually chooses production in order to maximize profit, a quantity of output is produced by them which is higher than the level produced by monopoly and lesser than the level produced by competition.

The existence of economies of scale in certain industries can lead to oligopolistic market structures in those industries. This oligopoly market structure refers to a market form in which there are only a few sellers and they sell similar products.

The Oligopoly firm produces at a higher output, and so the costs per unit here decline significantly. Oligopoly firms are also able to take advantage of economies of scale that reduce production costs and prices.

Thus, when the oligopoly firm produces at a higher output, economies of scale allow the costs per unit (ATC) to decline significantly.

To learn more about the Oligopoly market here:

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4 0
2 years ago
With practical illustration, how can managers leverage on organizational behavior components to maximize business success
densk [106]

Explanation:

The study of organizational behavior in a company can be beneficial for managers to optimize people management practices.

The attitudes of employees in an organization are responsible for creating an organizational climate focused on harmony and ethics, so it is necessary for managers to know the profile and motivations of employees, to develop strategies that will help in creating a favorable organizational culture. the development of skills and abilities.

Knowing organizational human capital is extremely necessary to analyze how employees communicate individually and in teams, in order to develop tactics that maximize their potential and keep them motivated and engaged, so that there is integration and increased employee productivity, an essential factor for assist in business maximization and success.

3 0
3 years ago
What is a stock exchange?
liraira [26]

Answer:

A. A place where investors can buy and sell different  investments.

Explanation:

A stock exchange is a place for the exchange of stocks in the market. In other words, it is a place where investors could 'meet' to buy or sell stocks, be it investments, company shares, or company securities.

A stock market, in simple words, is the marketplace for the buying and selling of investments, a trading place for buyers and sellers. So, a stock exchange is a transaction dealing with stocks, equities, or shares of the commercial world. And the transaction or exchange can only be done if the stock is listed on an exchange.

Thus, the correct answer is option A.

6 0
3 years ago
Read 2 more answers
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