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hjlf
3 years ago
5

Leodan, a glass manufacturing firm based in the U.S., has sole control over several glass manufacturing facilities located all o

ver the world. The company assumes the entire risk if any of the facilities undergoes losses, and it enjoys all the profits if the facilities do well. Which of the following methods has Leodan used to conduct business globally in this scenario?
Business
1 answer:
mafiozo [28]3 years ago
5 0

Answer:

the formation of wholly owned affiliates.

Explanation:

Based on the information provided within the question it can be said that in this scenario it seems that Leodan has used the formation of wholly owned affiliates. This term refers to a company that has been completely bought by another company, where they now own 100% of it and take full responsibility for all the losses and profit of that subsidiary. Which is what Leodan has with the several glass manufacturing facilities located all over the world.

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In terms of interests in real property, this is not an interest in land but a temporary right to use another's land for a limite
kifflom [539]

Answer:

a leasehold      

Explanation:

Leasehold relates to an accounting phrase for a rented resource. Usually the asset is estate such as a house or storage within a building. The lessee buyouts with the property owner in return for a sequence of planned payouts throughout the lease term, for the lawful right to utilize the estate.

Once a lease agreement is signed, to a degree permitted by the deal, the purchaser or tenant starts to construct the accommodation for its activities. In commercial real estate, leaseholds are much more popular whereby supermarkets as well as other facilities can be constructed on the ground but often occur in housing uses, such as homes and condos.

7 0
3 years ago
describe a shopping good that you are someone you know purchase what kind of research did you are that person do before buying t
saveliy_v [14]
A shopping good that someone I know purchased is a dining set.The person conducted online research and compared the different options before settling on the item. The research was also mainly conducted on Google and Amazon. This involved reading peer reviews to decide the best product to purchase. <span> </span>
8 0
3 years ago
Eastport Inc. was organized on June 5, 2018. It was authorized to issue 300,000 shares of $10 par common stock and 50,000 shares
exis [7]

Answer:

A) Cash (debit) 180,000; Common stock (credit) 150,000; Additional paid-up capital-common stock (credit) 30,000 - Debit - Credit = 0

B) Cash (debit) 255,000; Preferred stock (credit) 250,000; Additional paid-up capital-preferred stock (credit) 5,000 - Debit - Credit = 0

C) Cash (debit) 900,000; Common stock (credit) 600,000; Additional paid-up capital-common stock (credit) 300,000 - Debit - Credit = 0

Explanation:

In Eastport Inc.´s case all 3 situations are similar, shares (Stockholders´Equity) increased, so credits in 4 accounts, according to the type of shares that are issued, must be registered: Common stock, Preferred stock, Additional paid-up capital-common stock, Additional paid-up capital- preferred stock. We will recognize the par value and stated value of the shares and the difference between this and the price paid by shareholders will be recognized as additional paid-up capital. Also, cash (Asset) is received as payment for the shares so a debit must be registered in the account Cash.

8 0
3 years ago
Read 2 more answers
In computing the cost of common equity, if the dividend (D1) goes downward and market price (P0) goes up, required rate of retur
harkovskaia [24]

Answer:

b. go down.

Explanation:

The Formula for Required rate of return Ke = Dividend (D1) / Price. So, increase in price which is denominator will leads to decrease in the required rate of return. Hence, In computing the cost of common equity, if the dividend (D1) goes downward and market price (P0) goes up, required rate of return (Ke) will <u>Go down</u>

5 0
3 years ago
A firm has a stock price of $68.00 per share. The firm's earnings are $85 million, and the firm has 20 million shares outstandin
erik [133]

Answer:

2.1

Explanation:

A firm has a stock price of $68.00 pet share

The firm's earning are $85,000,000

The firm has $20,000,000 outstanding

They have an ROE of 11% and a Plow back ratio of 70%

The first step is to calculate the EPS

EPS= $85,000,000/$20,000,000

= $4.25

P/E= $68.00/$4.25

= 16

g= 11×70

= 770/100

= 7.7%

Therefore the PEG ratio can be calculated as follows

PEG ratio= 16/7.7

= 2.1

Hence the firm PEG ratio is 2.1

3 0
3 years ago
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