Answer:
$16,500
Explanation:
The computation of increase in investment is shown below:-
Here, if the investor holds 20% or more but less than 50% shares than the dividend paid and income earned by the investee are reported.
Increase in investment = Shares of net income - Share of dividends
= $55,000 × 30% - $0 (Dividend is not paid)
= $16,500
Therefore for computing the increase in investment under equity method we simply applied the above formula.
I believe the answer u are looking for is c......You can use the reference to support your claim. however be careful that you still use updated information as well
Answer:
1. The correct answer is b) Confidentiality.
2. The CEO supports the CFO and does not agree to correct the financial statements
Explanation:
1. Confidentiality is an important element for different companies and professions, for example, through confidentiality, companies protect much of their information. That is why many companies make a confidentiality agreement with their employees when hiring them with the aim that the Company information is not shared for any reason.
There are confidentiality agreements that remain in force after people have stopped working at the company, for example in the case of the accountant who denounces the financial irregularities of his former boss, violates the confidentiality agreement and if his employer shows that he has no irregularity he can sue the accountant for not complying with the agreement.
2. Executive Director of the company is known as the CEO, whose function is the development of the business plan and the organization of the company.
The CFO is the acronym for the financial director in companies, they have the function of financial planning.
In companies, Executive Director (CEO) has the authority to accept or deny actions to be taken, for example, he has the authority to tell the chief financial officer (CFO) not to correct the company's financial statements. When the company has problems, it may be that the CEO and CFO will have responsibilities taking into account their functions.
<em>I hope this information can help you.</em>
Answer:
The payback period for this project is 2.43 years.
Explanation:
Elmer Sporting Goods is getting ready to produce a new line of golf clubs by investing $1.85 million.
The investment will result in additional cash flows of $525,000, $812,500, and 1,200,000 over the next three years.
The payback period is the time it takes to cover the investment to be covered by returns.
The investment cost remaining in the first year
= $1,850,000 - $525,000
= $1,325,000
The investment cost remaining in the second year
= $1,325,000 - $812,500
= $512,500
The third year payback
= 
= 0.427
The total payback period
= 2.43 years
