Answer:
II and III only
Explanation:
Since the Zero dividend is not possible in most of the scenarios.
The dividend growth model can be used to value the stock of firms that pay Annual dividend with a constant increasing rate of growth and the Annual dividend with a constant decreasing rate of growth.
The basic difference in the economic effects of a tariff compared with a quota is that tariff is more likely to generate revenue for the government. Both of tariff and quota are forms of governmental regulation for protecting the international trade with other countries. Tariff is undertaken by government to protect the international trade by maintaining the tax rate of the trade. Quota is undertaken by government by maintaining the quantity of the items in the trade. These regulations impact importers or exporters in a country.
Answer:
D. The breakeven point decreases.
Explanation:
Breakeven point of a business is defined as the point where it's total cost and total revenues are equal, at this point there is no gain or loss. Hen revenue is above this point profit is made, and when revenue is below this point there is loss.
The formula for break-even is
Breakeven point= Total fixed cost/(Sales price per unit- Variable cost per unit)
Since sales price and variable cost is constant, let's say
(Sales price per unit- Variable cost per unit)= constant (k)
So when we cross-multiply in the formula
Breakeven* k= Total fixed cost
It shows that Breakeven point is directly proportional to Total fixed cost.
So a reduction in Total fixed cost will result in a reduction in Breakeven point.
Answer: The net cash flows from operating activities is $162,500.
Explanation:
Laser World's
Net cash flows from operating activities
Net income ($870,000 - $755,000) $115,000
Add back depreciation 44,000
Increase in accounts receivable ($60,500 - 58,000) (2,500)
Increase in accounts payable ($32,500 - 26,500) 6,000
Net cash flows from operating activities $162,500
Answer:
B. As a current liability on the balance sheet
Explanation:
Prepaid Cards has expiry of December 31, 2019 and LatteBucks is liable to redeem that card until the expiry date. So, the unredeemed gift cards be reported on LatteBucks's 2018 year-end financial statements.
At time of Sale transaction might be as
Dr. Cash $XXX
Cr. Redeemable card payable $XXX
