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3 years ago

The cost of preferred stock is computed the same as the:

Business

1 answer:

Anna71 [15]3 years ago

6 0

Answer:

d. return on a perpetuity

Explanation:

Two types of stock are common and preferred. Preferred stockholders do not have voting rights but they have a higher claim to earnings and assets as compared to the common stockholders. In the case of preferred stock, a fixed annual dividend is obtained forever. So, the cost of preferred stock is computed the same as the return on a perpetuity

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Facing stiff competition in the e-reader market, Sumac Industries wants to protect its competitive advantage by increasing the p

azamat

Answer:Highlight celebrities who use Sumac e-readers.

Explanation:

According to the question, due to tough competition in market regarding the e-reading product , Sumac industries wants that they can have superior position in e-reader market than other e-reader business organizations.Thus,they want a secure position for their company.

A good strategy for maintaining their position can be done through putting spot-light on the celebrity users of Sumac e-reader.This will be highlighted among celebrity fans or followers and general customers. It will promote or inspire people to purchase Sumac e-reader more as celebrities are using their product.

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3 years ago

]the cycle in which money changed hands resulted in profits for businesses and salaries for workers.

Georgia [21]

The cycle of money where it results to profits for business and salaries for workers are when we pay money for the services or things that we buy and this ends when we receive the items and services we need. Cash conversion is also another term for this cycle.

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3 years ago

Craigmont uses the allowance method to account for uncollectible accounts. Its year-end unadjusted trial balance shows Accounts

sineoko [7]

The amount of the bad debts expense adjusting entry is:$7665.

<h3>Bad debt expenses</h3>

Using this formula

Bad debt expenses=Sales×Estimated sales percentage

Where:

Sales=$1,095,000

Estimated sales percentage=0.7%

Let plug in the formula

Bad debt expenses=$1,095,000×0.7%

Bad debt expenses= $7,665

Therefore the amount of the bad debts expense adjusting entry is:$7665.

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2 years ago

DeLong Corporation was organized on January 1, 2017. It is authorized to issue 14,500 shares of 8%, $100 par value preferred sto

DanielleElmas [232]

Answer:

Jan. 10

Cash $507,00 (debit)

Common Stock $507,00 (credit)

Mar 1

Cash $566,500 (debit)

Preferred Sock $515,000 (credit)

Share Premium : Preferred Stock $51,500 (credit)

April 1

Land $91,000 (debit)

Common Stock $91,000 (credit)

May 1

Cash $420,000 (debit)

Common Stock $420,000 (credit)

Aug 1

Legal Expenses : Attorneys bill $39,500 (debit)

Common Stock $39,500 (credit)

Sept 1

Cash $80,500 (debit)

Common Stock $80,500 (credit)

Nov 1

Cash $222,000 (debit)

Preferred Sock $200,000 (credit)

Share Premium : Preferred Stock $22,000 (credit)

Explanation:

<u>Common Stocks are at no par value:</u>

This means that ,

1.When Common Stocks are Issued, the value is the issue price there is no share premium reserve on it.

2. For consideration paid in Common Stocks, value of stocks would be the same as the cost at initial recognition. For example the Purchase of Land on April 1. Initial recognition is at Asking Price of $91,000. Hence common stocks are issued at $91,000.

<u>Preference Stocks are at $100 par</u>

This means that,

1.Any issue of Preference Stock made in excess of par value is accounted in the Preference Share Premium Reserve.

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3 years ago

which protects tricare beneficiaries from devastating financial loss due to serious illness or long-term treatment by establishi

Ipatiy [6.2K]

The factor that protects Tricare beneficiaries from devastating financial loss due to serious illness or long-term treatment by establishing limits over which payment is not required is known to be called catastrophic cap benefit.

<h3>What is catastrophic cap benefit?</h3>

The catastrophic cap is known to be a word that connote the highest or maximum a person and their family can be able to pay so that they can be able to covered TRICARE health care services in all of the calendar year.

Note that this is known to be a plan that tends to protects a person due to the fact that it lowers the amount in terms of the out-of-pocket expenses a person need to pay for TRICARE covered medical services.

Therefore, The factor that protects Tricare beneficiaries from devastating financial loss due to serious illness or long-term treatment by establishing limits over which payment is not required is known to be called catastrophic cap benefit.

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1 year ago