Answer:
Yes she should purchase this preferred stock.
Explanation:
Return on investment as a percentage = return/capital invested * 100
For Aeryn to decide whether she should purchase this preferred stock, its return on investment should be higher than or equal to 8%. The return on investment of this preferred stock is $40/$475 * 100 = 8.42%, which is higher than her required return therefore she should purchase the preferred stock.
Limited partner.
<h3>
What is a Limited partner?</h3>
- A limited partner is a shareholder whose liability for the company's debts is limited to the amount they contributed to the business.
- Silent partners are another name for limited partners.
<h3>What is Limited Partnership?</h3>
- Similar to a general partnership, a limited partnership (LP) must have at least one general partner (GP) and at least one limited partner, as opposed to the minimum requirement of two GPs for general partnerships.
- Different from limited liability partnerships, which only have limited liability for each participant, are limited partnerships.
- The GPs are, in most significant ways, in the same legal position as partners in a traditional firm: they have management control, share the right to use partnership property, divide the firm's profits into fixed shares, and have joint and several liabilities for the partnership's obligations.
Therefore, the answer is a limited partner.
Know more about a Limited partner here:
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Answer:
In his landmark essay on the nature of economics, Lionel Robbins defined economics as. “the science which studies human behaviour as a relationship between ends and scarce means which have alternative uses”
Explanation:
Answer:
a. $70,500
b. $7,500
c. $9,000
Explanation:
a. The computation of the amount of revenue is shown below:-
Amount of revenue = Ending balance of accounts receivable + Cash collected - Beginning balance of accounts receivable
= $10,500 + $72,000 - $12,000
= $70,500
b. The computation of net income earned during the accounting period is shown below:-
Net income = Revenue generated - Expenses
= $70,500 - $63,000
= $7,500
c. The computation of amount of cash flow from operating activities is shown below:-
Net cash flow from operating activities = Cash collection - Amount paid for operating expenses
= $72,000 - $63,000
= $9,000
