Answer:
a. $103,400
Explanation:
As we know that
Cost of goods sold = Beginning inventory + purchases - ending inventory
And,
Gross profit = Sales revenue - cost of goods sold
Since in the question it is given that
The ending inventory and beginning inventory had been overstated by $11,200 and $6,600 respectively
Since overstatement in the initial inventory raises the cost of the goods sold and decreases by that amount the gross profit & net income
And, overstatement in ending inventory reduced cost of goods sold and raised gross profit & net income by that amount.
So for overstated ending inventory the amount should be deducted and for overstated beginning inventory the condition would be reverse
So, the correct amount is
= incorrect pretax net income + overstatement in beginning inventory - overstatement in ending inventory
= $108,000 + $6,600 - $11,200
= $103,400
Answer:
The correct answer is option A.
Explanation:
The present value of all free cash flows gives the share value under the free cash flow approach to valuation. It is also called a discounted cash flow valuation.
Answer: Reseller
A reseller is an organization that sources a variety of products from various producers, aggregates them under one roof and sells them to end users. A reseller usually doesn’t produce or add value to the products themselves.
Staples is a reseller that stocks a variety of stationery under one roof. It was set up with an objective to make all kinds of office and stationery supplies easily available to the end users.
A shortage will develop when the market price is below the equilibrium price.
In economics, the equilibrium price is when the quantity of goods supplied are equal to the quantity of goods demanded. There's a shortage when the price is below because there is not enough goods to supply what is demanded of the product.
Answer:
PURCHASE PRICE OF THE RIGHT STOCK (75 * $90) = $6750
LESS- SELL PRICE OF THE RIGHT (25 * $22) =($550)
TOTAL COST OF THE RIGHT STOCK = $6200
NO OF RIGHT STOCK PURCHASED = 75
PRICE PER STOCK = $82.67
SALE PRICE OF THE RIGHT (25 * $22) =$550
LESS- PURCHASE PRICE OF RIGHT = NIL
TOTAL CAPITAL GAIN ON SALE = $550
