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vova2212 [387]
4 years ago
5

The board of directors of pilgrim company authorizes a $100,000 restriction of retained earnings for a future plant expansion. t

his action will
Business
1 answer:
Yakvenalex [24]4 years ago
6 0

Answer:

It will reduce the amount of dividiends it can pay.

Explanation:

As there is an amount of the retained earnings that is restricted the company cannot use them to pay up neither stock or cash dividends in the future.

The retained earnings are used to pay dividends but also, are part of the equity of the firm thus the RE count to the capital structure of the company . Loans can be obtained with better rates if thecapital structure is more based on equiy than in liabilities thus, the board of directors is planning ahead the future plant exansion avoiding to use cash and deteriorate his capital structure to pay up dividends.

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A Mind Map is used to: Develop unique methods to find the perfect career path Find your favorite book, magazine and newspaper Pu
Leni [432]

Answer:

Visualize and organize your thoughts​.

Explanation:

3 0
2 years ago
Discuss reasons why communication may break down between co-workers regarding work matters, (4) Discuss how technology can be he
Fed [463]

Answer: 1) Lack of communication plan; this is a situation where the organization doesn't provide adequate training and orientation on how workers should communicate amongst each other.

2) Toxic and Stressful work environment; a toxic and stressful work environment can affect communication in a work environment. For people to communicate very well there have to be a great atmosphere for that and not that filled with hatred or so much work load.

Explanation:

Challenges in work environment is something that's inevitable sometimes, here are the following reasons why communication may break down between co-workers regarding work matters;

1) Lack of communication plan; this is a situation where the organization doesn't provide adequate training and orientation on how workers should communicate amongst each other.

2) Toxic and Stressful work environment; a toxic and stressful work environment can affect communication in a work environment. For people to communicate very well there have to be a great atmosphere for that and not that filled with hatred or so much work load.

3) Partial judgement; this could be defined as a situation where either the management staff has a bias concerning some workers over the others or the workers have some form of bias against themselves which clouds their judgement

Technology can be helpful in maintaining a healthy financial plan by helping you plan your savings and investment. Today we have many firms who came up with plans technology-wise on how individuals can save some amount of their money and get reasonable interest rate. They're other platforms where investments are been born out of through technology. The main purpose is that they help you keep a healthy financial plan both by saving and investments.

3 0
3 years ago
Suppose that you are an orange grower. Would you expect the demand for your
aksik [14]

It should be noted that the demand for orange will be elastic because when there's a change in price, there'll be a larger change in quantity demanded.

It should be noted that an elastic demand simply means a situation whereby a change in the price of a good lead to a larger change in the quantity demanded.

In this case, the demand for orange will be elastic because when there's a change in price, there'll be a larger change in quantity demanded. For example, an increase in price will make the customers buy other fruits.

Learn more about demand on:

brainly.com/question/25585026

8 0
2 years ago
Larry decided to relocate to Germany. Larry hired Happy Homes, Inc. to find a buyer and contract for the sale of his house in th
Dominik [7]

Answer:

True

Explanation:

The relationship between Larry and Happy Homes, Inc. has to be a written agreement. This is because the agreement is a contract between both Larry and Happy Homes Inc. involving the sale of his house which he has given Happy Homes the right to find a buyer for.

So when Happy Homes, Inc. find a buyer, Larry will be notified and the processes will take place as stated in the contract between Larry and Happy Homes, Inc.

cheers.

4 0
3 years ago
Read 2 more answers
The treasurer of Riley Coal Co. is asked to compute the cost of fixed income securities for her corporation. Even before making
Gelneren [198K]

Answer: (a) 6%

(b) 10.61%

(c) Yes

Explanation:

a) After tax cost of debt = Yield (1- tax)

= 8 ( 1 - 0.25)

 = 8 × 0.75

 = 6%

b) cost\ of\ preferred\ stock =\frac{dividend}{price-flotation\ cost}

cost\ of\ preferred\ stock =\frac{5.20}{52-3}

cost\ of\ preferred\ stock =\frac{5.20}{49}

= 0.1061 or 10.61%

Note:  Cost of preferred stock is not tax deductible

c),Yes the treasurer is correct ,The cost of debt is 5% less than cost of preferred stock [10.61 - 6 = 4.61%]

8 0
3 years ago
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