Answer:
$69.87
Explanation:
The price i would be willing to pay for the stock can be determined by finding the present value of the dividend payments
Present value is the sum of discounted cash flows
Present value can be calculated using a financial calculator
Cash flow in year 1 = 3.1
Cash flow in year 2 = 3.38
Cash flow in year 3 = 3.70
Cash flow in year 4 = 4.02
Cash flow in year 5 = 4.38 + 95 = 99.38
I = 11%
Present value = $69.87
To find the PV using a financial calculator:
1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.
Answer:
Credit Treasury Stock $20,000
Explanation:
When the company reissued the shares, the Treasury Stock account is credited by the same price they were acquire. i.e. in this case we acquire the treasury stock at a price of $20.
Cash (1,000 * 12) 12,000
Additional Paid in Capital 8,000
Treasury Stock (1,000 * 20) 20,000
Answer:
Three things:
-Under processing before canning
-Spoilage before canning
-entrance of water through can seams during cooling
Explanation:
The preservation process is aimed at reducing the rate of spoilage of food products over time.
When adequately processed a time can be given during which the food product is still not spoilt. For example 1 year from date of canning. After this period there is a high possibility of food spoilage.
If a can of peas was bought from a grocery and it is spoilt it is either the peas were not well processed, there was spoilage before commercial canning, or water entered when cooling during canning
Answer:
c) Broker Factor.
Explanation:
A broker factor is an agent that sells goods that are from someone else for a comission and this person takes possession of the products that is selling. Also, a broker factor can make a sell in his/her name and has authorization to receive the money from the sale. Because of this, Mike's relationship with K&M is that of a broker factor.
Answer:
$8,000
Explanation:
Income distribution deductions apply only to an estate or trust's distributable net income (DNI). In this context, the beneficiaries of an estate or a trust are taxed directly based on the money distributed to them. That means that the estate or trust can deduct distributions when calculating taxes. This is done to avoid double taxation, since the beneficiaries are taxed, then the estate or trust is not.
