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SVEN [57.7K]
3 years ago
9

The cost of preferred stock

Business
1 answer:
Ghella [55]3 years ago
5 0

Answer:

Dividends are fixed ⇒ Debt

Preferred dividends are fixed much like the interest payments made on debt which makes this a characteristic of debt.

Usually have no specified maturity date ⇒ Equity

Equity does not have an expiration or maturity date and preferred shares share this same characteristic.

Cost of preferred stock.

The value of a Preferred stock is calculated by the formula:

Price = Dividend / Cost of preferred stock

97.95 = 11 / Cp

97.95 * Cp = 11

Cp = 11/ 97.95

= 11.23%

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Eisler Corporation issued 2,000 $1,000 bonds at 101. Each bond was issued with one detachable stock warrant. After issuance, the
Zolol [24]

Answer:

In the books of Eisler Corporation :

Cash ( 2,000 x 1,000 x 101 %) A/c   Dr.  2,020,000

Discount on Bonds Payable A/c     Dr.   $59,216

To Bonds Payable                                                           2,000,000

To Paid-in Capital : Stock Warrants                                 79,216

Workings:

Bond issue proceeds proportionately allocated to bonds:

=2,020,000\times\frac{980}{980+40}

= 1,940,784.31

Discount on bonds payable = $ 2,000,000 - $1,940,784  

                                              = $59,216

4 0
3 years ago
A _________ is generally considered an appreciating asset because it will _________ in value over time.
DIA [1.3K]
The answer is C-House;increase
5 0
3 years ago
The weekly demand for an item in a retail store follows a uniform distribution over the range of 50 to 100. What would be the we
kakasveta [241]

The weekly demand for an item in a retail store follows a uniform distribution over the range of 50 to 100. The answer for the same, the weekly demand is seventy (70).

Computer generated value: (0≤x≤1)

the part occupied by the weekly value: 0.4,

so, it is out of 50 values,

then

0.4 = 40% of (100 -50) = 20

(from the beginning which is 50, thus, 50 + 20 = 70)

Now we've got:

Computer generated value (CGV) = 0.4

Lower limit (LL) = 50,

Difference between upper and lower limit (UL-LL)= 100 - 50 = 50,

Thus,

the weekly demand is obtained as 70

Uniform Distribution

brainly.com/question/20038895

#SPJ4

7 0
2 years ago
Acme Global hired a director of safety to help the organization ensure proper compliance with the Occupational Safety and Health
Yakvenalex [24]

Answer:

The action of ACME global represent the influence of  Government  in the external environment of an organisation

Explanation:

The external environment of an organisation represents the factors outside the environment that is capable  of influencing  the decision of the organisation.  It consists of the outside factors that influences the organisation.  e.g social cultural, political, economic, technological  factors among others.

One of these factors is the Political/ Legal factor:

The political / legal factor focuses on the influence of government on business organisations. It reviews how government laws, policies, and rules affects the operation of business. The rules and regulations or policies put in place by the government has the capacity to influence the business decision.

In the case of ACME global hiring a director of safety, they are doing so in other to comply to the occupational safety and Health Act that is most definitely enacted by the government.

Therefore we can say that  the action of ACME global represent the influence of  Government  in the external environment of an organisation

5 0
3 years ago
All of these are components of active listening except
kolbaska11 [484]

rephrase is the answer


6 0
4 years ago
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