Answer:
4. $3.00...$2.73
Explanation:
Basic EPS = Net income/average number of shares outstanding
= 1500000/500000
= $3 per share
Diluted EPS = 1500000/(500000 + 50000)
= $2.73 per share
Therefore, Colt should report earnings per share for 2018:
Basic Earnings Per Share of $3
Diluted Earnings Per Share of $2.73
United States’ savings rate is only around 10%, much lower than any other countries. There's some reasoning behind it. In fact, countries with the highest savings rates weren’t necessarily the countries with the highest GDPs. GDP os US is $56,300 per capita but their household savings rate of just 4.9%. Also, in Hungary their GDP is $26,000 while their savings rate of 9.0%. This implies that the money they have isn't place on one nest only or put to savings, rather allocated to a much more important sectors. We should not forget taking into account their purchasing power parity, the rate a currency would have to be converted into another to buy the same amount of goods and services of the country.
Answer:
a)
Rent Expense Dr.$16,000
Bank Dr.$48,000
Prepaid Rent Cr.$64,000
Explanation:
The company entered into lease on 1st November 2019 with rent of $8,000 per month. the company on 1st November 2019 recorded prepaid rent as follows; which is wrong
Prepaid Rent Dr. $72,000
Bank Cr. $72,000
This is wrong entry as prepaid rent was overstated by ($72,000-$24,000 ) $48,000 and same like bank was understated by $48,000
The correct entry should have been like this as on 1st November 2019;
Prepaid Rent Dr. $24,000
Bank Cr. $ 24,000
By 31st December 2019, two months rent have already accrued so prepaid rent should be credited by (8000*2+48,000 for additional amount recorded)
<em>So the rectifying entry is; as on 31st December 2019</em>
<em>Rent Expense Dr.$16,000</em>
<em>Bank Dr.$48,000</em>
<em>Prepaid Rent Cr.$64,000</em>
Answer: Income statement.
Explanation:
Also known as the profit and loss account, the income statement is a financial record that shows the amount of money that a business establishment receives and spends during a certain period (week, month or year). The profit or loss is determined by subtracting the expenses from the income during a period.
Answer:
$251,000
Explanation:
The computation of the total book value of the firm's assets is shown below:
= Historical cost of building + cost of other fixed asset - total depreciation charged on the various assets + current liabilities + net working capital
= $189,000 + $56,000 - $49,000 + $36,600 + $18,400
= $251,000
We added the other cost which is computed above and deduct only the total depreciation so that the total book value of the firm's asset has come
