1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Paul [167]
3 years ago
14

Packard Company engaged in the following transactions during Year 1, its first year of operations: (Assume all transactions are

cash transactions.)
1) Acquired $1,050 cash from the issue of common stock.
2) Borrowed $520 from a bank.
3) Earned $750 of revenues.
4) Pald expenses of $270.
5) Pald a $70 dividend.

During Year 2, Packard engaged in the following transactions: (Assume all transactions are cash transactions.)

1) Issued an additional $425 of common stock.
2) Repaid $290 of its debt to the bank.
3) Earned revenues of $850.
4) Incurred expenses of $400.
5) Pald dividends of $120.

What is the amount of total stockholders' equity that will be reported on Packard's balance sheet at the end of Year 1?

a. $290
b. $1.460
c. $1.530
d. $980
Business
1 answer:
algol133 years ago
6 0

Answer:

The correct answer is Option B.

Explanation:

Stockholders' equity comprises retained earnings, common stock and premium on common stock. Retained earnings are an accumulation of net income or loss over years. The effects of the transactions in Year 1 are as follows:

1) Acquired $1,050 cash from the issue of common stock - increase common stock and cash by $1,050

2) Borrowed $520 from a bank - this increases Cash and Liabilities by $520 - nil effect on stockholders' equity

3) Earned $750 of revenues - this increases net income/Retained Earnings by $750

4) Paid expenses of $270 - reduction in net income/Retained Earnings by $270

5) Paid a $70 dividend - reduces Retained Earnings by $70

Overall, stockholders' equity = $1,050 + $750 - $270 - $70 = $1,460

You might be interested in
an amount of 16000 is borrowed for 8 years at 3% interest, compounded annually. if the loan is paid in full at the end of that p
bezimeni [28]

He must pay back 20268.32 of amount after borrowing 16000 for 8 years at the interest rate of  3% for one year.

<h3>How to calculate loan amount ?</h3>
  • The term "Loan Amount" refers to the sum of money we currently owe you for this mortgage. The loan amount may also include other fees, interest , defaulted payments, interest on defaulted payments, principal, and interest on unpaid principal.
  • The amount of interest due each period expressed as a percentage of the amount lent, deposited, or borrowed is known as an interest rate. The total interest on a loaned or borrowed sum is determined by the principal amount.

Amount he borrowed = 16000

No. of years = 8 years

Rate of interest = 3%

Calculate full amount (A) :

Equation for A = P(1 + r/n)^(nt)

A =  16000(1 + .03)^8

A = 20268.32

He need to pay 20268.32 after 8 years.

To learn more about Loan amount refer :

brainly.com/question/26011426

#SPJ4

4 0
1 year ago
Activities in the business modeling discipline and the ____ discipline are primarily concerned with building models of the organ
Oxana [17]

Answer:

The correct answer is Requirements.

Explanation:

The purpose of the requirements discipline is:  

Establish and maintain an agreement with customers and other stakeholders about what the system should do.

Provide system developers with a good understanding of system requirements. Define the limits of the system (delimit it).

Provide a basis for planning the technical content of the iterations.

Provide a basis for estimating the cost and time to develop the system.

Define a user interface for the system, focusing on the needs and goals of the users.

To achieve these objectives, it is important, first of all, to understand the definition and scope of the problem that the system is trying to solve. Stakeholders are identified and stakeholder requests are obtained, gathered and analyzed.

From there, the work products of the requirements are developed to fully describe the system (what the system is going to do) in an effort that perceives all stakeholders, including customers and potential users, as important sources of information ( in addition to the system requirements).

3 0
3 years ago
Milton Friedman helped to establish the economic theory of monetarism. Which statement best describes the idea of monetarism
Ann [662]

Monetary policy is the best way to influence economic growth.

Appeared as a leader of the Chicago school of financial economics, Friedman burdened the importance of the quantity of cash as a device of government coverage and a determinant of enterprise cycles and inflation. His monetarism principle proposed that cash delivery modifications have immediate and long-term effects.

Milton Friedman became a U.S. economist and Nobel laureate known as the most influential propose of loose-marketplace capitalism and monetarism in the 20th century.

The monetarist principle is an monetary concept that contends that changes in cash deliver are the maximum good sized determinants of the charge of monetary increase and the behavior of the commercial enterprise cycle.

Learn more about economic growth here brainly.com/question/1690575

#SPJ4

7 0
2 years ago
____ helps individuals, groups, and organizations store useful information, such as a list of tasks to complete or a list of nam
Gnoma [55]

Answer:

The correct answer here is Personal information managers.

Explanation:

PIM or personal information manager is a software application which is used by individual, groups and organizations to manage contacts, calendar, reminders, alerts, notes , making appointments, project management etc through its PIM tools and these tools can vary according to the need. So it can be said that this personal information manager acts as a personal organizer.

7 0
3 years ago
Air Destinations issues bonds due in 10 years with a stated interest rate of 11% and a face value of $500,000. Interest payments
olga nikolaevna [1]

Answer: $471,324.61

Explanation:

Price of a bond = Present value of coupon payments + Present value of face value at maturity

Coupon payments = 500,000 * 11% * 1/2 years = $27,500

Periodic yield = 12%/ 2 = 6% per semi annual period

Periods = 10 * 2 = 20 semi annual periods

Coupon payment is constant so it is an annuity.

Price of bond = Present value of annuity + Present value of face value at maturity

= (Annuity * Present value interest factor of Annuity, 6%, 20 years) + Face value / (1 + rate) ^ number of periods

= (27,500 * 11.4699) + 500,000 / (1 + 6%)²⁰

= $471,324.61

8 0
2 years ago
Other questions:
  • Sarah tells jake that she is thinking about buying a car. jake replies that he would like to sell sarah one of his cars in a few
    13·1 answer
  • Which characteristic places people at a higher risk for trying illicit drugs?
    5·1 answer
  • Before you start to develop your résumé, what should you analyze?
    12·2 answers
  • Mary is in contract negotiations with a publishing house for her new novel. She has two options. She may be paid $100,000 up fro
    8·1 answer
  • Accounts receivable $29,500
    9·1 answer
  • Seth invested $20,000 in Series EE savings bonds on April 1. By December 31, the published redemption value of the bonds had inc
    13·1 answer
  • If a small electric automobile manufacturer is able to gain the social return generated by its electric motor, its demand for fi
    10·1 answer
  • Perfectly competitive industry X has constant costs and its product is an inferior good. The industry is currently in long-run e
    11·1 answer
  • Computer safety control settings are most often used to
    6·1 answer
  • 2. The average national utility price is $270. 48. Over a 6-month period, what is the average utility price in Dallas? How does
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!