Answer and explanation:
The budgeted balance sheet is an accounting report stating the current period's initial balance for each account according to the results of the previous period. After that, managers consider the investment and expenditure plans for the current period to schedule the company inflows and outflows. Finally, government policies are taken into consideration to find out how they can affect the company's projection in the short and long run.
Answer:
The correct option is B,common shareholders have a claim on the company's assets only after the claims of debt-holders and preferred shareholders have been satisfied.
Explanation:
The debt-holders have priority over preferred shareholders and common shareholders in laying claims to the assets of the company.This accounts for the reason why payment of interest on their loans is accorded highest priority.
The preferred shareholders have priority on company assets over the common shareholders in the event of company going bankrupt.
The common shareholders are at the bottom-line in terms of claims t assets upon liquidation,however they share in excess gains from liquidation as they are the original owners of the company entitled to higher risks and rewards.
To put the question simply, we need to find out what the value of 23% of $1,595 is: $1,595 / 100 = 15.95 x 23 = $366.85. So, $366.85 is deducted. Hope this helps!
