<span>No, it does not. That money could go to other places beside the balance sheet. The business might have prepaid expenses or existing debt, which could siphon off a portion of their net income, leaving their balance sheet much lower.</span>
Answer:
1) $30
2) 2,014,000 shares
Explanation:
1). A 4 for 1 stock split means that for every one stock outstanding, there would be two stocks outstanding port the split. However, the value of the firm is not increased here. So, the value of firm won't change
Value of firm pre-split = Value of firm post-split
Therefore,
Number of shares pre-split * Share Price pre-split = Number of shares post-split * Share Price post-split
1 * $90 = 3 * Share price post-split
Solve for share price post slip:
Share price post-split = $90/3 = $30
2) Number of shares post stock dividend = Number of shares pre stock dividend * (1 + Dividend %)
Number of shares post stock dividend = 1,900,000 * (1 + 6%) = 2,014,000 shares
Answer: Controlling
Explanation:
Controlling is a management process which involves comparing the outcome of an organization's processes to the targets set for those processes beforehand, and taking corrective measures in case the outcome is deviating from the set targets. For example, a manager of a business running at a loss, can identify the cause of the loss and find ways of correcting the negative outcome.
Answer:
1. Debit Fixed Asset (Property) $519,000
Credit Cash $519,000
This can be further split into
Dr Building $406,000
Dr Land $113,000
Cr Cash $519,000
2. $50,400
3. $393,200
Explanation:
1. The total cost incurred in the acquisition of the property (Land and building) is $519,000 as shown below
Cost =
= 519,000
This can be split further into the cost for land and cost for building
Cost of Land =
Cost of Building=
=
2.
3. Netbook value (NBV) at the end of year 2