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3 years ago

Which of the following is a risk of investing in a privately held company, instead of a publicly held company?

2 answers:

7 0

A privately held company is a company that is ran by a small number of shareholders, company members or non-government officals. There are no trading of the stocks to the public by means of the stock market but is traded privately. A publicly traded company is publicly listed for the gneral public. When working with a publicly traded company, those who wish to purchase stock in the company are allowed to do so and the stock is traded within the stock market.

kolezko [41]3 years ago

5 0

Private companies are not controlled b y the government and therefore there is a risk of shutting down as well, but Public companies are government owned companies

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A new machine costing $1,800,000 cash and estimated to have a $60,000 salvage value was purchased on January 1. The machine is e

vredina [299]

Answer:

Results are below.

Explanation:

Giving the following formula:

Purchase price= $1,800,000

Salvage value= $60,000

Useful life= 8 years or 600,000 units

To calculate the annual depreciation using the units-of-production method, we need to use the following formula:

Annual depreciation= [(original cost - salvage value)/useful life of production in units]*units produced

Annual depreciation= [(1,800,000 - 60,000) / 600,000]*70,000

Annual depreciation= $203,000

To calculate the annual depreciation using the double-declining balance, we need to use the following formula:

Annual depreciation= 2*[(book value)/estimated life (years)]

Annual depreciation= 2*[(1,800,000 - 60,000) / 8]

Annual depreciation= $435,000

Finally, the annual depreciation using the straight-line method:

Annual depreciation= (original cost - salvage value)/estimated life (years)

Annual depreciation= (1,800,000 - 60,000) / 8

Annual depreciation= $217,500

6 0

3 years ago

At the beginning of the year, Poplock began a calendar-year dog boarding business called Griff's Palace. Poplock bought and plac

valina [46]

Answer: See attachment

Explanation:

a. What is Poplock’s year 1 depreciation expense for each asset?

See attachment. Note that the depreciation for the assets were calculated as the original basis × the rate. e.g for Computer equipment, the Depreciation was, the original basis of $5000 × the rate of 20% which equals $1,000.

b. What is Poplock’s year 2 depreciation expense for each asset?

Check attachment.

Depreciation for computer = $1600

Depreciation for day grooming furniture = $1714

Depreciation for popup truck = $3200

Depreciation for commercial building = $6923

6 0

3 years ago

Wall -to- wall records' April 1 inventory had a cost of $48,000 and a retail value of $70,000. During April, net purchases cost

algol13

Answer:

The correct answer is that the cost of the ending inventory using the retail inventory method is US$ 100,962

Explanation:

Wall-to-Wall Records

Cost Retail

Beginning Inventory $ 48,000 $ 70,000

Purchases $ 210,000 $ 390,000

Cost of Goods Available for Sale $ 258,000 $ 460,000

Cost to Retail Ratio

= $ 258,000 ÷ $ 460,000

= 0.5609 = 56.09%

Cost Retail

Cost of Goods Available for Sale $ 258,000 $ 460,000

− Sales $ 280,000

Ending Inventory $ 180,000

× Cost to Retail Ratio 0.5609

Ending Inventory $ 100,962

5 0

3 years ago

What does the World Bank hope will result from the loans it makes to developing countries?

Sauron [17]

Maybe the answer is b

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3 years ago

Read 2 more answers

In September 2000 the Pullman Group arranged a bond issue for the estate of the late Marvin Gaye. The collateral on the bonds (a

nata0808 [166]

Answer:

The bond will sell for the amount of $869.17

Explanation:

According to the given data coupon amount = 50/2 = 25

Therefore, in order to calculate the selling price of the bond we would have to make the following calculation:

selling price of the bond = 25 * PVIFA(3%,52) + 1,000 * PVIF(3%,52)

selling price of the bond= 25 * 26.1662 + 1,000 * 0.2150

selling price of the bond= $869.17

The bond will sell for the amount of $869.17

6 0

3 years ago