Answer:
Option C because it is impossible to determine the legality based on the facts given.
Explanation:
Answer
1) Issued for Cash
Weighted Average number of shares at year end 330,000
b) Issued for Dividends
weighted Average number is 320,000
Explanation:
The Weighted average number (assuming year end is 31 December)
300000 * 12/12 = 300000 full year
30000 = 30000
issued for dividends
Weighted average number
300000 * 12/12 = 300000 full year
30000 * 8/12 = 20000
total at year end 320000 shares
Answer: $30000
Explanation:
Based on the information given in the question, the required reserve will be:
= $60000 × 25%
= $15000
Since the bank's required and excess reserves are equal, then the excess reserve will be $15000.
Therefore, the actual reserves will be:
= Required reserve + Actual reserve
= $15000 + $15000
= $30000
Answer:
The answer is:
Asset will be overstated
Net income will be overstated
Explanation:
Because of the incorrect capitalization(the process of converting or adding to a firm's asset):
1. Assets are overstated. Assets that shouldn't are added to the entire assets are added. So it's increasing the company's asset whereas it's not.
2. Net income are overstated. Because depreciation too will have to be charged for the asset that wasn't there, therefore, net asset will be overstated.
