Answer and Explanation:
The journal entry is as follows;
Amortization expense $1,585 ($16,400 - $3,720) ÷ 4 years × 0.5
Trademarks $1,585
(Being the amortization expense is recorded)
As we debit the amortization expense as it increased the expenses and at the same time we credited the trademarks as it decreased the assets
Answer:
a)
Div₁ = $3
Div₂ = $5
Div₃ = $7.50
Div₄ = $10
Div₅ = $2.50
the terminal value at year 4 = $2.50 / 15% = $16.67
P₀ = $3/1.15 + $5/1.15² + $7.50/1.15³ + $26.67/1.15⁴ = $2.61 + $3.78 + $4.93 + $15.25 = $26.57
dividend yield over the first year = $3 / $26.57 = 11.29%
b)
P₁ = $5/1.15 + $7.50/1.15² + $26.67/1.15³ = $4.35 + $5.67 + $17.47 = $27.49
capital gains yield = ($27.49 - $26.57) / $26.57 = 3.46%
What are your answer choices.
Answer:
$20 million
Explanation:
Data provided
Issue of common stock = $42 million
Purchase of treasury stock = $22 million
The computation of net cash flows from financing activities is shown below:-
Net cash flow from financing activities = Issue of common stock - Purchase of treasury stock
= $42 million - $22 million
= $20 million
Therefore for computing the net cash flow from financing activities we simply deduct the purchase of common stock from issue of common stock.
Answer:
To help others
Explanation:
He feels the need to do something positive for the community
