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Helga [31]
3 years ago
13

Texas Inc. has 10,000 shares of 6%, $125 par value, cumulative preferred stock and 50,000 shares of $1 par value common stock ou

tstanding at December 31. What is the annual dividend on the preferred stock?
a) .75 per share
b) 10,000 in total
c) $75 per share
d) $75,000 in total
Business
1 answer:
yan [13]3 years ago
4 0

Answer:

d) $75,000 in total

Explanation:

The computation of the annual dividend on the preferred stock is shown below:

= Number of shares × par value per share × dividend percentage

= 10,000 shares × $125 × 6%

= $75,000

We simply multiplied  the number  of shares with the oar value and the dividend percentage so that the accurate amount can be calculated

All other information which is given is not relevant. Hence, ignored it

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yaroslaw [1]

Answer. ok

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8 0
3 years ago
Krisp Systems decides to move production to a developing country where they are free to pump pollutants into the atmosphere with
Delvig [45]

Answer:

Environmental hazards and underdevelopment

Explanation:

Aware of existing policies to curb the careless release of pollutant to the atmosphere, relocating to developing country's amounts to refusal to pay taxes, cutting corners in order to make more profits and reduction in additional cost to operations. But most importantly, the company is not a promoter of the eradication of environmental hazards.

4 0
3 years ago
Twifty Sports Inc. manufactures basketballs for the Women’s National Basketball Association (WNBA). For the first 6 months of 20
Xelga [282]

Answer:

Incremental Analysis for special order

units                                                                   <u>10,000</u>

offer price                                                          $290,000

Variable cost:

Cost of goods sold($22.5 *10,000)     225,000

Selling and Administrative expenses

($2.05*10,000)                                       20,500

shipping cost (0.77*10,000)               <u>    7,700  </u>     <u> (253,200)</u>

Additional contribution                                           <u>  36,800</u>

Explanation:

variable cost goods sold per unit  =  ( 3,633,000 - 960,000)/118800 = $22.5

Variable selling and admin expense per unit = ( 517,540 - 274,000)/118800                  

                                                                         = $ 2.05

8 0
3 years ago
Patti Company owns 80% of the common stock of Shannon, Inc. In the current year, Patti reports sales of $10,000,000 and cost of
Elden [556K]

Answer:

$10,140,000

Explanation:

To make consolidated statements company needs to consolidate the financial data of its own and its subsidiary.

Revenue can be consolidated of parent and subsidiary as follow:

First

Add revenue of both companies

Total Sales = Patti Company sales + Shannon Inc. sales

Total Sales = $10,000,000 + $200,000 = $10,200,000

Now deduct the sale made to each other because sales mad within the group is not recorded for consolidation purposes and it is not a sale for a group it is an internal group transfer.

Consolidated Sales = Total sales - Internal Sales

Consolidated Sales = $10,200,000 - $60,000 = $10,140,000

8 0
4 years ago
In​ 2015, the Washington Nationals baseball team signed pitcher Max Scherzer to a contract to play for them for seven years. He
Salsk061 [2.6K]

Answer: D. The actual value of the contract is less than $30 million for each year he plays.

Explanation:

Given that Mark sherzer will be paid $15 million per year for 14 years reflects a contract whose value at the time of signing is ($15 million × 14) = $210 million. However, the payment would not be paid at the of signing but spread over a period of 14 years with $15 million being splashed out annually. However, considering the time value of money, whereby the present value of a fixed amount decreases with time. Hence in actual sense, the $210 million face worth of the contract will actually be less than $30 million [$210/7(playing years)] as time progresses on the fixed amount paid yearly due to reduction in the value of the present value as time progresses.

7 0
3 years ago
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