1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
e-lub [12.9K]
3 years ago
7

Tom Yuppy, a wealthy investor, paid $20,000 for 1,000 shares of $10 par common stock issued to him by Leuig Corp. A month later,

Leuig Corp. issued an additional 2,000 shares of stock to Yuppy for $25 per share.
Required:
Show the effect of the two stock issues on Leuig's books in a horizontal statements model.
Business
1 answer:
Sliva [168]3 years ago
3 0

Answer:

See the attached excel file for the horizontal statements model.

Explanation:

In the attached excel file, we have:

FA = Financing activity

For event 1:

Cash = $20,000

Common stock = Number of shares * Share price at par = 1,000 * $10 = $10,000

PIC in Excess = Paid in capital in excess = Cash - Common stock = $20,000 - $10,000 = $10,000

For event 2:

Cash = Number of shares issued * Price per share = 2,000 * $2.50 = $50,000

Common stock = Number of shares * Share price at par = 2,000 * $10 = $20,000

PIC in Excess = Cash - Common stock = $50,000 - $20,000 = $30,000

Download xlsx
You might be interested in
Which of the following is a valid reason for governmental entities to engage in business-type activities?(A) The entity does not
Orlov [11]

Answer: Option D

     

Explanation: The prime objective of every government in the world is to develop their nation and make the life of their population better. The living standard of the population heavily depends on the basic necessities of life.

Therefore, sometimes government engage in business activities to provide individuals certain commodities at subsidized prices. Most of the government entities do not work for profit thus they are able to provide commodities cheaper than private sector.

Hence, from the above explanation we can conclude that option D is correct.

5 0
3 years ago
The method used to share an idea with an audience is called what? 6 points
Natalka [10]
The answer is medium. In the communication process, a medium is a channel or system of communication. The means by which information or the message is transmitted between speakers or writer which is the sender and an audience which is the receiver. In addition, the communication media denotes to the means of transporting and receiving data or information. In telecommunication, these means are conduction and channels for data storage and conduction.
8 0
3 years ago
ou are trying to decide whether to accept or reject a one-year project. The project is estimated to generate $5,000 in increment
Papessa [141]

Answer:

$3,190

Explanation:

Incremental net income before tax = Incremental gross profit - Incremental SG&A expenses

= $5,000 - $400

= $4,600

Incremental net income after taxes = Incremental net income before tax * (1 - Tax rate)

Incremental net income after taxes = $4,600 * (1 - 0.35)

Incremental net income before tax = $4,600 * 0.65

Incremental net income before tax = $2990

Incremental cash flow = Incremental income after taxes + Depreciation

Incremental cash flow = $2,990 + $200

Incremental cash flow = $3,190

3 0
3 years ago
A u.s. manufacturer that exports goods made at its u.s. plants for shipment to foreign markets:
iris [78.8K]
A U.S. producer that exports merchandise made at its U.S. plants for shipment to outside markets becomes more focused in remote markets or in foreign markets when the U.S. dollar decreases in values against the currencies or money of the other nations or countries to which it is trading.
7 0
3 years ago
Determine whether the following arguments are best interpreted as being inductive or deductive. Also state the criteriayou use i
eduard

Answer:

Congruent triangles has the two angles of one of their sides equal

This means if a triangle side has angles of 30 and 60 degrees the other triangle also has 30 and 60 degrees.

An isoceles triangle will have 2 angles of the same degree. Thus, If triangle A is isoceles then, two angles add up to make the third equal to one these two.

We should remember that angles inside a triangle always add up to 180ª

2a +b = 180

a + b = 180 - a

if the other triangle has 2 angles mathing the isoceles triangle, then it is also  an isoceles.

Uploaded an image of an isoceles triangle to understand better.

Explanation:

6 0
3 years ago
Other questions:
  • Select all that apply. Which roles come through choices? husband or wife son or daughter sibling mother or father peacemaker or
    13·2 answers
  • In our class discussion of Cultural Pollution, we heard an example of provocative ads for Clearasil that upset come parents. In
    7·1 answer
  • At the beginning of the year, manufacturing overhead for the year was estimated to be $821,100. At the end of the year, actual d
    8·1 answer
  • Which of Graeter’s stakeholders are most affected by the family’s decision to take a long-term view of the business rather than
    6·1 answer
  • Beck Manufacturing reports the following information in T-account form for 2019. Raw Materials Inventory Begin. Inv. 11,600 Purc
    11·1 answer
  • Review of the 15-inch HUAWEI MateBook D15 laptop
    7·1 answer
  • The daily cost of producing pizza in New Haven is C(Q) = 4Q + (Q2/40); the marginal cost is MC = 4 + (Q/20). There are no avoida
    11·1 answer
  • The Beanny Company had budgeted sales of 1,000 units with a per unit selling price of $5 per unit. Actual sales were 1,100 units
    14·1 answer
  • Variable outcome probability price 1,500 0.3 350 0.7 yield (ton) 11 0.55 4 0.45 cost ($) 3500 0.25 7500 0.75 what is the net ret
    8·1 answer
  • Pete jackson purchased office equipment costing $3,000 for his business and paid immediately. record this transaction in the acc
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!