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* Develop a career action plan that focuses your future
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* Increase your chances of being hired by developing a persuasive, accomplishment-based résumé.
Answer:
$7,200,000
Explanation:
Given that,
Common stock = $5,400,000
Retained earnings = $2,000,000
Unrealized gains on trading securities = $100,000
Unrealized losses on available for sale securities = $200,000
Stockholder's equity:
= Common stock + Retained earnings - Unrealized losses on available for sale securities
= $5,400,000 + $2,000,000 - $200,000
= $7,200,000
Note that:
Unrealized gains on trading securities should be presented on the income statement. Hence, the ending retained earnings balance was already been adjusted with Unrealized gains (losses) on trading securities.
Unrealized losses on available for sale securities not included in the income statement and it directly goes to the balance sheet.
Answer:
According to the basic DCF stock valuation model, the value an investor should assign to a share of stock is dependent on the length of time he or she plans to hold the stock.
A. True
Explanation:
The DCF (Discounted Cash Flow) method of stock valuation is based on the assumption of the time-value of money. This approach considers that the cash flow that is received today is much more than the same amount of cash flow received any other time in the future. And the time of the future receipt or payment affects the amount of the cash flow, with decreasing consequences based on increasing time into the future.
Since the coffee beans arrived on September 2 instead of on
September 1, LaTisha's best defense would be breach of a legally binding
contract by Marco. Marco failed without, any legal excuse, to deliver the
products as promised. Marco violated the legal agreement between the two
parties since he did not perform his obligation.