Answer: $7185
 
Explanation: Shareholders equity refers to the amount of funds that are collected by the company by selling their ownership rights in the market to the general investors. 
As per the subject matter of accounts, every asset that is owned by an organisation is either financed by the available funds or some liability is taken to buy it. This could be illustrated as follows :-
assets =  shareholders equity + liabilities 
Putting the values into equation we get :-
$2280 + $ 10,400 = $1,405 + $4090 + shareholders equity
therefore :-
shareholders equity = $7185
 
        
             
        
        
        
Answer:
The answer is $215,000
Explanation:
Cost of goods sold equal:
Opening/beginning inventory plus purchases minus closing/ending inventory
To find beginning inventory at January 1, 2018, lets rearrange the formula:
Cost of goods sold minus plus purchases plus closing/ending inventory.
Cost of sales is $470,000
Purchases is $415,000
Ending inventory is $160,000
Therefore, beginning inventory at January 1, 2018 is 
$470,000 - $415,000 + $160,000
=$215,000
 
        
             
        
        
        
Answer
D) compared to the EOQ, the maximum inventory would be approx 30% lower.
Explanation
EOQ = √(2*Co*D/Cc)
EPQ= √ (2*Co*D/(Cc*(1-x)))
x=D/P
D = demand rate
P =production rate
Co=ordering cost
Cc=holding cost
1) The production rate would be about double the usage rate.
hence, P = 2D
x=D/2D=0.5
EPQ= √ (2*Co*D/((1-0.5)*Cc))
EPQ= √ (2*Co*D/0.5Cc)
EPQ=√ (1/0.5)*EOQ
EPQ=√ (2)*EOQ
EPQ=1.41*EOQ
Hence, EPQ is around 40% larger than EOQ.
Ans.: c) EPQ will be approximately 40% larger than the EOQ.
2) Compared to the EOQ, the maximum inventory would be
maximum inventory = Q
EPQ = 1.41 EOQ
EPQ = 1.41*Q
Q=EPQ/1.41
Q=0.71 EPQ
Hence, compared to EOQ, maximum inventory in EPQ is only 70% of that in EOQ model.
 
        
             
        
        
        
Answer:
Should Marston Manufacturing Company accept or reject the project? 
Marston C Company should reject the project because its expected return is lower than Division H's cost of capital. 
Since the divisions' risk is so different, and probably their projects are also very different, the company should use different costs of capital to accept of reject the projects based on each division's cost of capital. 
Imagine another situation where Division L is evaluating a project that yields 10%. If they used the company's WACC, then they should reject the project, but if they used the division's cost of capital, then they should accept the project (in this case I would recommend accepting it). 
Explanation:
Division H's risk = 14%
Division L's risk = 8%
WACC = 11%