Answer:
9.09%
Explanation:
The required return of ZYX, Inc shall be determined using the following mentioned formula:
r=[d(1+g)/MV]+g
In the given question
r=required rate of return of ZYX, Inc=?
d(1+g)=next dividend payment to be made by the ZYX, Inc=$2.95
MV=current selling price of share=$58
g=growth rate of dividend=4%
r=required rate of return=[$2.95/$58]+4%
r=required rate of return=9.09%
Well due to lack of effective advertising and no expertise or experience in the field you shouldn’t expect major profit.However when you get more experienced and build a name for your company you will make more profits.
You can get more share capital ect
Answer:
B)owners' equity and decrease assets.
Explanation:
From the question, we are informed about Ringgold Co. Whereby At the end of the current accounting period, Ringgold Co. recorded depreciation of $15,000 on its equipment. In this case, The effect of this entry on the company's balance sheet is to decrease owners' equity and decrease assets. Depreciation can be regarded as type of expense that brings reduction in value of an asset. It can be regarded as scheduled and not estimated expense . Depreciation can be recorded on balance sheet, as well as cash flow statement.
Solution:
Inventory 21,320 debit
A/P 21,320 credit
--to record purchase from Game Girl --
Inventory 360 debit
Cash 360 credit
--to record the freight-in--
A/P 1,560 debit
Inventory 1,560 credit
--to record returned goods to GameGirl--
A/P 19,760 debit
Inventory 395 credit
Cash 19,365 credit
--to record payment to GameGirl--
accounts receivables 17,360 debit
sales revenues 17,360 credit
COGS 8,406 debit
8,406 credit
--to record sale and subsequent cost of the sale--
total amount of the purchase in dollars:
82 game devices x 260 dollars each = 21,320
six returned devices:
6 x 260 = 1,560
invoice balance: 21,320 - 1,560 = 19,760
discount because payment within the first ten days:
19,760 x 2% = 395
final value: 19,760 - 395 = 19,365
sale of 62 devices at 280 = 17,360
