Answer: The correct answer is c. Expenses are reported on the income statement when cash is paid.
Explanation: Matching principle states that expenses are matched with the related revenue in the same period, that is, expenses incurred to generate related revenue are recorded during the same time interval the related revenue is recorded in order to show the true and fair position of the profitability of the company.
Based on the above definition, <u>only option C does not align with the matching principle</u><u> </u>because expenses should be recorded in the income statement when incurred and NOT when cash is paid. If it is recorded when cash is paid, it means <em>cash basis of accounting</em> is being applied.
When faced with the option of beginning a new venture you should always select the time that results in the highest NPV.
The important thing assumption we ought to make in entrepreneurship is the idea that the handiest way to do matters right is to do them yourself. because of this, we need to take dangers and also need confidence in our talent set so we can produce satisfactory work while at the same time maintaining a tremendous mindset.
Someone who undertakes the chance of starting a new enterprise task is referred to as an entrepreneur. An entrepreneur creates a firm to realize their idea, called entrepreneurship, which aggregates capital and labor on the way to produce goods or services for profit. Entrepreneurship is the willingness and potential to establish, organize and control a business and take economic dangers to make earnings. An Entrepreneur is an innovator who brings in new ideas to create a hit business assignment.
Learn more about Beginning a new venture here:-brainly.com/question/19260136
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Answer:
Please sew solution below
Explanation:
a. What are the dividend payout ratios for each firm
Dividend payout ratio = Dividend / EPS
• Payout ratio stock A = $1.30 / $2.6 = 0.5= 50%
• Payout ratio stock B = $1.3 / $1.8 = 0.72222 = 72.22%
b. What are the expected dividend growth rates for each stock.
Growth rate = ROE × (1 - dividend payout ratio)
•Growth rate stock A = 0.08 × (1 - 50%) = 0.04 = 4%
• Growth rate stock B = 0.05 × (1 - 72.22%) = 0.01389 = 1.39%
c. What is the proper stock price for each firm
• Stock A
Price = D1 / (Re - g)
D1= $1.30 * (1 + 0.04)
= 1.352
Stock B
Price = D1 / (Re - g)
D1= $1.30 * (1 + 0.013)
= 1.3169
Therefore,
• Stock A's proper price = $1.352 / (0.08 - 0.04) = $33.8
• Stock B's proper price = $1.3169 / ($0.08 - $0.013) = $19.66
profit really
Explanation:
There are three types of international trade: Export Trade, Import Trade and Entrepot Trade. ... It means importing goods from one country and exporting it to another country after adding some value to it. For instance, India imports gold from China makes jewelry from it and then exports it to other countries
