Common stock is a corporate owned equity. Common stock shareholders have a right to the company's assets after all bondholders, preferred stock/shareholders and other debt holders are paid first and in full. Preferred stock has the owner entity to a fixed amount of money. Those that are preferred shareholders/stockholders receive money before any common stock holders do. They have a higher claim on assets and company earnings.
Answer:
Explanation:
In the income statement, the total revenues and the total expenses are recorded.
If the total revenues are more than the total expenditure then the company earns net income
And, If the total revenues are less than the total expenditure then the company have a net loss
This net income or net loss would reflect in the statement of the retained earning account.
The preparation of the income statement is presented in the spreadsheet. Kindly find the attachment below:
Answer:
b. Place the company on a restricted list and give only factual information about the company.
Explanation:
There is an ethical problem in the scenario that borders on professional code of conducts in the area of objectivity and independence.
It was stated in the scenario that ''the head of the investment banking department has asked the head of the brokerage unit <u>to change the recommendation from "sell" to "buy."</u>
This is a case of wanting to interfere with the <u>objectivity</u> of the recommendations which should be based on <u>facts not bias</u>.
Secondly, the head of investment banking is trying to interfere with the <u>independence</u> of the head of brokerage unit.
According to the Standards, the head of the brokerage unit would be permitted to place the company on a restricted list and <u>give only factual information</u> about the company.
In a requirement document
The requirement document usually varies and heavily depended on the type of project , the preference of the shareholders, and our business analysis standard
it usually consist of a set of standards for the business requirements
Answer:
2 tons of millet for New Zealand and 3 tons of millet for Brazil.
Explanation:
New Zealand and brazil both can produce corns and millet. The opportunity cost for Brazil is more than the New Zealand. Both the countries should go towards the production of the crop in which they have comparative advantage. New Zealand has comparative advantage in producing millet and Brazil has comparative advantage in producing corn.
