A nation's ability to produce a product more efficiently than another country is referred to as

The Alford Group had 320,000 shares of common stock outstanding at January 1, 2018. The following activities affected common sha

jeka57 [31]

Answer:

1. $2.5 Per Share

2. $0.9375 per share

3. $1.25

Explanation:

According to the scenario, computation of the given data are as follow:-

1. EPS 2018

Earning Per Share(EPS) = Net Income ÷ Weighted Average Outstanding Share of Common Stock

2018:- Weighted Average Outstanding Share of Common Stock = (320,000 × 12 ÷ 12) - (24,000 × 10÷12) + (24,000 × 2÷ 12) + (96000 × 1÷12)

= 320,000 - 20,000 + 4,000 + 8,000 =312,000 shares

2018 Net Income = $780,000

Earning Per Share ( EPS ) 2018 = $780,000 ÷ 312,000 = $2.5 Per Share

2. 2019 EPS:-

Common Stock Share at the Beginning of 2019 =320,000 - 24,000 + 24,000 + 96,000 = 416,000 shares

2019:- Weighted Average Outstanding Share of Common Stock = 416,000 × 2 = 832,000

2019 Net Income = $780,000

EPS = $780,000 ÷ 832,000 = $0.9375 per share

3. The 2018 EPS Be Presented in 2019 Comparative Financial Statement = Net Income ÷ (Weighted Average Outstanding Shares Of Common Stock For 2018 × Stock) )

= $780,000 ÷ (312,000 × 2)

= $780,000 ÷ 624,000

= $1.25

5 0

3 years ago

Mitchell Corporation bought equipment on January 1, 2012 .The equipment cost $120,000 and had an expected salvage value of $20,0

murzikaleks [220]

Answer:

$100,000

Explanation:

Depreciable cost refers to the portion of an asset's costs that will be spread throughout the use-life of the asset. It is the amount to depreciated over the gainful life of the asset.

Depreciable cost is calculated by subtracting salvage value from the original cost of the asset. Salvage value is also the scrap value.

Depreciable cost = asset cost - salvage value

Depreciable cost= $120,000 - $20,000

Depreciable cost =$100,000

4 0

3 years ago

Rock Adventures has 15 employees each working 40 hours per week and earning $30 an hour. Federal income taxes are withheld at 15

Maslowich

Answer:

the actual direct deposit payroll is $12,843

Explanation:

The computation of the actual direct deposit payroll is shown below;

= Total salary - withholdings

= (15 × 40 × $30) - Federal income tax - state income tax - FICA tax

= $18,000 - ($18,000 × 0.15) - ($18,000 × 0.06) - ($18,000 × 7.65%)

= $12,843

Hence, the actual direct deposit payroll is $12,843

Basically we applied the above formula

4 0

3 years ago

Changes in inventories are included as part of investment spending because multiple choice 1 anything produced by a business tha

Nataly_w [17]

Answer:

A)Changes in inventories are included as part of investment spending because anything produced by a business that has Anything produced by a business that has not been sold during the accounting period is something in which the business has invested

B)If inventories declined by $1 billion during 2012, then $1 billion would be subtracted from both gross private domestic investment and gross domestic product.

Explanation:

A) All inventories that Businesses could have is expected to be utilized by the business. Example of this is that Iron sheet that a business could use in making new Factory building or a pack of toiletries in the shelf in supermarket are both asset as regards to the business and they are things that are been invested by the business.

B)Declination in inventories symbolize that produced goods in previous years has been used up in production of current year. In the case that that the stated $1 billion is not deducted, then there would be need to count the produced goods that was produced in previous year as been produced in 2022

3 0

2 years ago

Top hedge fund manager Sally Buffit believes that a stock with the same market risk as the S&P 500 will sell at year-end at

Rus_ich [418]

Answer:

a. 9,50%

b. $47.09

Explanation:

a) Discount rate on the stock

Average Risk Premium of Stock = 7.60%

Current risk-free rate = 1.60%

Discount Rate = 7.60% + 1.90%

Discount Rate = 9.50%

b) Current Price = ($41 + $2) / (1 + 9.50%)^1

Current Price = $43 / (1.0950)^1

Current Price = $43 / 0.91324

Current Price = $47.0851035872278

Current Price = $47.09

Note: Stock price equals the present value of cash flows for a 1-year horizon (Fv + Dividend)/(1+ Discount rate)^n

6 0

3 years ago