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zmey [24]
3 years ago
15

If a company issues bonus shares, what is the most likely effect on its debt-equity ratio?

Mathematics
1 answer:
Lena [83]3 years ago
7 0

Answer:

If a company issues bonus shares, there will be no increase in the capital and the debt-equity ratio remains unchanged.

Step-by-step explanation:

Free additional shares offered to existing shareholders is known as a bonus issue.

Bonus issues are given to shareholders when companies are short of cash and shareholders expect a regular income. It may also be issued to restructure company reserves.

However, issuing bonus shares does not involve cash flow. It increases the company’s share capital but not its net assets.

Since bonus issues only increase the number of shares a shareholder is holding but not the ratio/percentage of holding. Thus, if a company issues bonus shares, there will be no increase in the capital and the debt-equity ratio remains unchanged.

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It would take 48 years for adults to eat 1,500 pounds of cheese.

Step-by-step explanation:

1,500 ÷ 31 = 48

— based on my knowledge

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3 years ago
Classify the real number -1.125
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It is a rational number because it can be expressed by a quotation or fraction of an integer
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4 years ago
Ellie reads 4 1/2 pages in 1/4 of an hour. At this rate, how many pages can she read per hour?
Harrizon [31]

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Step-by-step explanation:

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5 0
3 years ago
Write the equation of the parabola that has its x-intercepts at (1+<img src="https://tex.z-dn.net/?f=%5Csqrt%7B5%7D" id="TexForm
VladimirAG [237]

Answer:

y=2x^2-4x-8

Step-by-step explanation:

<u>Factored form of a parabola</u>

y=a(x-p)(x-q)

where:

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  • a is some constant.

Given x-intercepts:

  • (1+√5, 0)
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Therefore:

\implies y=a(x-(1+\sqrt{5}))(x-(1-\sqrt{5}))

\implies y=a(x-1-\sqrt{5})(x-1+\sqrt{5})

To find a, substitute the given point (4, 8) into the equation and solve for a:

\implies a(4-1-\sqrt{5})(4-1+\sqrt{5})=8

\implies a(3-\sqrt{5})(3+\sqrt{5})=8

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Therefore, the equation of the parabola in factored form is:

\implies y=2(x-1-\sqrt{5})(x-1+\sqrt{5})

Expand so that the equation is in standard form:

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\implies y=2(x^2-2x-4)

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3 2/6 + ( 2 1/6 + 4/6 )
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Answer:

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