Answer:
pay a premium price for a successful company or buy a struggling company at a bargain price
Explanation:
Here the biggest confusion with respect to the firm i.e. acquisition minded faces that whether they have to a pay a premium price for becoming a successful company or still have to struggle for purchasing a company at a bargaining price
So according to the given situation, the last option would be correct
Answer:
1.) Which location would be the most advantageous for my business.
2.) What business structure would best suit my business?
3.) What is the total cost of ownership of my capital purchases
Explanation:
Location: Siting a business location is widely regarded as one of the most critical decision one has to make when starting a business. A locaction which is accessible and also harbors the business choice of consumer.
2.) Business Structure : Careful planning, perusal and adoption of a model for one's business is a very essential decision to be at the beginning of a startup. Entrepreneurs may need to decide if embarking on a business alone or partnering with an already existing company or partner will reap the most benefit.
3.) Cost of ownership of capital purchase:
Capital purchases are very essential in starting a business. It incorporates building, facilities and essential equipment needed to run the business. Estimating the cost is very important while preparing for begin a start-up.
<span>If the seller cost for the book was $6.50, the seller would loose money on each sale at $6.25 except for two reasons: (1) The seller is so worried that they will get caught with a supply of the books that selling at a slight loss is better then a complete loss. (2) The seller is willing to take a slight loss on one item to deliver a large audience to their store in order to sell customers more profitable items.</span>
Answer:
$26,516.67
Explanation:
Using the area occupied as a method of cost allocation (for maintenance and utilities expenses) will result in the departments occupying larger spaces bearing larger cost than departments occupying smaller spaces.
Furthermore, the same is applicable to the administrative expense which is based on the number of students.
Given that the administrative costs for the school were $63,000, maintenance fees were $25,000, and utilities were $7,300, the amount to be allocated to welding department is
= 70/280 * $63,000 + 12,000/36,000 * ($25,000 + $7,300)
= $15,750 + $10,766.67
= $26,516.67
Answer:
(a)
Dr. Cash $2,630,000
Cr. Preferred Stock $2,147,000
Cr. Add-in-Capital excess of par preferred stock $483,000
Explanation:
Preferred stockholders has an advantage that they are paid first when there is any dividend is announced. The residual dividend will be divided into the common stockholders. Any prior years due dividend and current years dividend associated with preferred share will be paid first.
Par value = 113,000 x 19 = $2,147,000
Excess of par value = $2,630,000 - $2,147,000 = $483,000