Answer:
price divisor after split is 4.5
Explanation:
given data
stock prices = $10
stock prices = $20
stock prices = $80
stock prices = $50
stock prices = $40
solution
we find here first price weighted index for all 5 stock that is
price weighted index = 
price weighted index = $40
so
price weighted index before split is $40
so after split last stock became half
so new price divisor
we consider denominator to be x
so
40 = 
x = 
x = 4.5
so price divisor after split is 4.5
Answer:
$400,000
Explanation:
The compensation expense to be recognized in 2021 is portion of the options value for one year.
Total value of the options=200,000*$6=$1,200,000
Compensation expense per year=fair value of the options/vesting period
fair value of the options is $1,200,000
vesting period is 3 years
compensation expense per year=$1,200,000/ 3 years=$400,000
The $400,000 compensation expense is debited to compensation expense account and credited to paid in capital-stock options $400,000 for each of the vesting period until the paid in capital -stock options account balance becomes $1,200,000 at end of year 3
Answer:
A. 29.6%
Explanation:
Return on Equity is the times of profit a owner can earn on the equity investment in the business. Higher ratio shows the business is more profitable.
As per given data
Net Income = $36,610
Average Equity = $123650
Return on Equity ( ROE ) = Net Income / Equity Investment
Return on Equity ( ROE ) = $36,610 / $123650
Return on Equity ( ROE ) = 0.296
Return on Equity ( ROE ) = 29.6%
<span>If the demand for a product is elastic the value of the price elasticity coefficient is </span>consumers are largely unresponsive to a per unit price change
Answer:
The correct answer is D.
Explanation:
Giving the following information:
Sales:
January=$220,000
February= $260,000
It is expected that 75% of its sales will be collected in cash during the month of sale, and the remaining 25% will be collected in the month following the sale.
<u>Cash collection:</u>
From January= 220,000*0.25= 55,000
From February= 260,000*0.75= 195,000
Total cash collection= $250,000
