Answer:
Business risk.
Explanation:
Business risk (uncertainty associated with the ability to forecast EBIT due to factors such as sales variability and operating leverage).
Answer:
a.
Cash 27000 Dr
Common Stock 13500 Cr
Paid in capital in excess of par-Common stock 13500 Cr
b.
Cash 135000 Dr
Preferred Stock 135000 Cr
Explanation:
a.
When we issue stock at premium, we always record the amount received from such issuance of stock at full. So, the cash account will be debited for 4500 * 6 = 27000
However, we record the common stock issued at par value and the remaining is credited under the reserve account which is Paid in capital in excess of par.
Thus the common stock will be credited by its par value of 4500 * 3 = 13500 and the remaining 4500 * 3 will be credited to the Paid in Capital account.
b.
The par value of the preferred stock is 4500 * 30 = 135000
Thus the preferred stock is issued at par and we simply debit the cash received from the issue and credit the preferred stock.
Answer:
This is how the market for board games would be affected in the explanation below
Explanation:
Because the manufacturers of the board game expect that the demand for their games would experience a decline, they would have to adjust their Production according to the decline. This is going to shift supply curve to the left, because of the decline in the production. Then equilibrium price would then increase as the quantity decreases because of the shift of the supply curve to the left.
Answer:
Clyde's Well Servicing has the following financial statements. The balance sheet items, profit margin, and dividend payout have maintained the same ...
Explanation:
A six-month moving average forecast is generally better than a three-month moving average forecast if demand: is rather stable.
<h3>What is stable demand?</h3>
This is the type of demands that occurs where by there is no change in the demand over a period of time.
The stable demand is known to have the same shape or remain the same way for a period of time.
Read more on demand here:
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