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zmey [24]
2 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]2 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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If two boxes of cereal and a jug of milk cost $8.50, and three boxes of cereal and two jugs of milk cost $14.00, how much does a
Citrus2011 [14]

Answer:

$3

Step-by-step explanation:

Let c represent the cost of a box of cereal and let m represent the cost of a jug of milk.

Create a system of equations:

2c + m = 8.5

3c + 2m = 14

Solve by elimination by multiplying the top equation by -2:

-4c - 2m = -17

3c + 2m = 14

Add them together and solve for c:

-c = -3

c = 3

So, a box of cereal costs $3

3 0
2 years ago
Help<br> What is the slope of the line on the graph?
Galina-37 [17]
Slope = (Y2-Y1) / (X2-X1)
hope that's helpful
6 0
2 years ago
Lionel walks 3/5 mile in 1/3 of a day. Cristiano walks 5/8 mile in 2/6 of a day.
Scrat [10]

Answer:

<h3>             Cristiano walked farther</h3><h3> In 1 day:   Lionel walked  1.8 mile</h3><h3>                  Cristiano walked 1.875 mile</h3>

Step-by-step explanation:

2/6 = 1/3  so we just need to know what is more 3/5 or 5/8

3/5 = (3•8)/(5•8) = 24/40

5/8 = (5•5)/(8•5) = 25/40

25 > 24  so 5/8 > 3/5

so <u>Cristiano walked farther</u>

They walk for 1/3 of a day so in a whole day they walk three times the distance

3/5 • 3 = 9/5 = 1 4/5 = 1.8 mile

5/8 • 3 = 15/8 = 1 7/8 = 1.875 mile

4 0
3 years ago
Writhe down 2 numbers from this list: -45,-21,-16,12,33,40 that have a difference of 29
ycow [4]

( - 16) - ( - 45) = 29
3 0
2 years ago
Read 2 more answers
Write a phrase $3 more than four times the cost of a pretzel as an algebraic expession
olasank [31]

Answer:

4x+3

Step-by-step explanation:

Let

x ----> the cost of a pretzel

we  know that

The phrase" $3 more than four times the cost of a pretzel" is equal to multiply the cost of a pretzel x by 4 and adds the number 3

so

The algebraic expression is

4x+3

4 0
3 years ago
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