Answer:
The total amount of paid-in capital is $552,000
Explanation:
The computation of the total amount of paid-in capital is shown below:
= Issue of common stock + issue of preferred stock
where,
Issue of common stock = Number of shares × issued price
= 20,000 shares × $18 per share
= $360,000
Issue of preferred stock = Number of shares × par value
= 1,200 shares × $160 per share
= $192,000
Now put these values to the above formula
So, the value would equal to
= $360,000 + $192,000
= $552,000
Answer: (a) Materials = $2 and Labor = $2.8
(b) Materials = $11,94,000 and Labor = $16,71,600
Explanation:
(a) Standard cost :
Standard cost is evaluated as a per unit amount.
For Materials,
= 
= $2
For Labor,
= 
= $2.8
(a) Budgeted cost :
Budget cost are evaluated as the total amount.
Therefore, for this year the budgeted cost are Materials = $11,94,000 and Labor = $16,71,600
Under what circumstances might they change their portfolios, moving their funds out of bonds into bank accounts? In general, people place their funds in those investments which provide them the highest returns.
Sidewinder, Inc., has sales of $634,000, costs of $328,000, depreciation expense of $73,000, interest expense of $38,000, and a
OlgaM077 [116]
Answer:
$86,050
Explanation:
Data provided in the question:
Sales = $634,000
Costs = $328,000
Depreciation expense = $73,000
Interest expense = $38,000
Tax rate = 21 percent
Dividends paid = $68,000
Now,
EBIT = Sales - Cost - Depreciation
= $634,000 - $328,000 - $73,000
= $233,000
EBT = EBIT - Interest
= $233,000 - $38,000
= $195,000
Net income = EBT - Tax
= $195,000 - (0.21 × $195,000)
= $195,000 - $40,950
= $154,050
Addition to retained earnings = Net income - Dividends
= $154,050 - $68,000
= $86,050
The crowding-out effect implies that restrictive fiscal policy will reduce real interest rates.
<u>Option: D</u>
<u>Explanation:</u>
The crowding out effect is the circumstances where greater interest rates consequences gives output of a decline in private investment expenditure so as to dampen the initial rise in overall investment expenditure. Authorities often embraces a restrictive fiscal-policy approach and raises spending to stimulate economic activity. This contributes to interest-rate rises. Higher interest rates have a impact on private investment choices. A high magnitude of the crowding-out impact can also result in lower economic revenue.
