I believe the missing word is actual.
Answer:
Zwick company's dividend revenue from Handy corporation in December 2018 would be = $280,000
Explanation:
Since Zwick company has bought 28,000 shares of Handy Corp. and Handy has announced a cash dividend of $10 per share. We will calculate Zwick company's dividend revenue would be,
Dividend revenue = ownership shares x dividend per share
Dividend revenue = 28,000 shares x $10 per share = $280,000
Answer:
A. 22.56%
B. 17.97%
Explanation:
a. Calculation for the cost of not taking a cash discount.
Cost of not taking cash discount = ( 2% / 98% )* ( 365 / (45 - 12) )
Cost of not taking cash discount=0.0204*365/33
Cost of not taking cash discount=7.446/33
Cost of not taking cash discount=0.2256*100
Cost of not taking cash discount= 22.56%
Therefore the Cost of not taking cash discount will be 22.56%
b. Calculation for the rate of interest if the company borrow from the bank.
Annual rate of interest = 16% / (1- 11%)
Annual rate of interest = 0.16/0.89
Annual rate of interest = 0.1797*100
Annual rate of interest = 17.97%
Therefore the rate of interest if the company borrow from the bank will be 17.97%
Answer:
Explanation:
X001 Sales volum = 3000*$20 = $60,000
X002 Sales volum = 3000*$10 = $30,000
Total $90,000
Allocated to X002 based on sales volum is 33.33% (30,000/90,000) of the 60,000, which is $20,000
Cost per unit of X002 is $6.67 ($20,000/3,000). Sells 1000 units, $6.67*1000 = $6670.
Gross profit = Revenue $10,000 - Cost $6670 = $3330 in gross profit
Answer:
Deflation; 10%
8; 9 basket of goods
rises
Explanation:
Given that,
Price of a basket of goods in year 1 = $10
Price of the same basket in year 2 = $9
There is a fall in the price level from year 1 to year 2, hence, this is known as the deflation in an economy.
Deflation rate:
= [(Price of a basket of goods in year 1 - Price of the same basket in year 2) ÷ Price of a basket of goods in year 1] × 100
= [($10 - $9) ÷ $10] × 100
= 10%
In year 1,
$80.00 will buy:
= $80 ÷ Price of a basket of goods in year 1
= $80 ÷ $10
= 8 baskets of goods
In year 2,
$80.00 will buy:
= $80 ÷ Price of a basket of goods in year 2
= $80 ÷ $9
= 8.9 or 9 baskets of goods
Therefore, this example indicates that as the price of the goods falls then as a result the value of money rises because with the lower price level, a person can purchase more quantity of goods.
