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3 years ago

8

Peggy Grey's Cookies has net income of $400. The firm pays out 30 percent of the net income to its shareholders as dividends. Du

ring the year, the company sold $85 worth of common stock. What is the cash flow to stockholders

1 answer:

andreev551 [17]3 years ago

3 0

Answer:

Cash flow = $35

Explanation:

Cash flow= Payout ratio*net income-price of stock= 0.30*400-85=35

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Nordstrom, Inc. operates department stores in numerous states. Suppose selected financial statement data (in millions) for 2020

ivann1987 [24]

Answer:

a. Current ratio = Total current assets/Total current liabilities

Current ratio = $6,840/$3,420

Current ratio = 2 : 1

b. Accounts receivable turnover = Net credit sales / [Net beginning accounts receivables + Net ending accounts receivables / 2]

Accounts receivable turnover = $13,940 / [$3,300+$3,500/2]

Accounts receivable turnover = $13,940 / $3,400

Accounts receivable turnover = 4.1 times

c. Average collection period = 365 / Accounts receivables turnover

Average collection period = 365 / 4.1

Average collection period = 89.0244

Average collection period = 89 days

d. Inventory turnover = Cost of goods sold / [Beginning inventory+Ending inventory/2]

Inventory turnover = $9,000 / [$1,500+$1,500/2]

Inventory turnover = $9,000 / $1,500

Inventory turnover = 6 times

e. Days in inventory at the end of the current year = 365 / Inventory turnover

Days in inventory at the end of the current year = 365 / 6

Days in inventory at the end of the current year = 60.8333

Days in inventory at the end of the current year = 61 days

3 0

3 years ago

On January 1, 2017, Crown Company sold property to Leary Company. There was no established exchange price for the property, and

Mademuasel [1]

Answer:

Leary Company

The carrying value of the notes payable at December 31, 2017, after the first payment is made (assuming that the effective-interest method is used) is:

= $320,000

Explanation:

a) Data and Calculations:

0% Note payable = $400,000

Payment period = 5

Annual installmental payments = $80,000

Prevailing rate of interest for similar note = 8%

Schedule

Period PV PMT Interest FV

1 $-591,650.08 $80,000.00 $-47,332.01 $558,982.09

2 $-558,982.09 $80,000.00 $-44,718.57 $523,700.66

3 $-523,700.66 $80,000.00 $-41,896.05 $485,596.71

4 $-485,596.71 $80,000.00 $-38,847.74 $444,444.44

5 $-444,444.44 $80,000.00 $-35,555.56 $400,000.00

Total $400,000.00 $-208,349.93

Carrying value

Ending value = $400,000

Interest expense -47,332.01

Cash repayment -32,667.99

Carrying value = $320,000

6 0

3 years ago

Which of the following antitrust acts would make it illegal for a board member of Microsoft to sit on the board of Apple?

saw5 [17]

I think its the Sherman Act

3 0

3 years ago

On January 15, Walton Company sold merchandise on account for $3,000 with terms 3/10, n/30. On January 20, the customer returns

Margaret [11]

Answer:

The amount received in cash is $2,328

Explanation:

The amount which is received in cash is computed as:

On January 20, the amount of $600 goods returns from customer, so the remaining balance is

= $3,000 - $600

= $2,400

On the remaining balance, the discount which is evaluated as the payment is received within the discount period which is January 25. So,

= $2,400 x (100% - 3%)

= $ 2,400 x 97%

= $ 2,328

7 0

3 years ago

A company’s unit costs based on 100000 units are: Variable costs $75 Fixed costs 30 The normal unit sales price per unit is $165

Simora [160]

Answer:

$81,000

Explanation:

The computation of the incremental profit (loss) from accepting the order is shown below:

Contribution per unit = $165 - $75

= $90

Now

Loss on contribution for giving up regular sales is

= $4,100 × 90

= $369,000

Now Incremental contribution for special order is

= ($135 - $75) × 7,500

= $450,000

So,

Incremental profit is

= $450,000 - $369,000

= $81,000

3 0

3 years ago