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Mariana [72]
3 years ago
13

At the beginning of its current fiscal year, Willie Corp.’s balance sheet showed assets of $10,100 and liabilities of $6,900. Du

ring the year, liabilities decreased by $1,200. Net income for the year was $3,000, and net assets at the end of the year were $3,900. There were no changes in paid-in capital during the year. Required: Calculate the dividends, if any, declared during the year. Indicate the financial statement effect. (Enter decreases with a minus sign to indicate a negative financial statement effect.)

Business
1 answer:
Viefleur [7K]3 years ago
3 0

Answer:

Dividends = 6,000

Explanation:

Ending liabilities = Beginning liabilities - Decrease in liabilities

                           = $6,900 - $1,200

                           = $5,700

Ending net assets = Ending total assets - Ending total liability

 $3,900                = Ending total assets - $5,700

Ending total assets = $3,900 + $5,700

                                = $9,600

Ending RE =  Ending total assets - Ending liabilities

                 = $9,600 - $5,700

                 = $3,900

Dividend = Beginning RE + Net income - Ending RE

               = $6,900 + $3,000 - $3,900

               = $6,000

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Nutka1998 [239]

Answer:

$30.00  

Explanation:

The price of the stock can be derived from the stock theoretical price formula given and explained below:

stock price=expected dividend/(market return-growth rate)

expected dividend=dividend paid today*(1+growth rate)

expected dividend=$2*(1+5%)

expected dividend=$2.10

market rate of return=12%

growth rate=5%

stock price=$2.10/(12%-5%)

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8 0
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Why is the statistical validity of a multiple regression design more complicated to interrogate than a bivariate design? a. Thes
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Answer:

The answer is letter D.

Explanation:

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N76 [4]

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Likurg_2 [28]

Answer:

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Explanation:

Step 1 of 3

Tax treatment of amount distributed to shareholders:

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Step 2 of 3

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Step 3 of 3

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