All categories

4 years ago

Whoever answers gets brainlist!

Business

1 answer:

Anika [276]4 years ago

7 0

Answer:

false

Explanation:

S corporation form of business ownership is one type of corporation. It is a corporation whose shareholders have elected to become an S corporation. The formation of this form of business structure is not easy. First, a corporation is formed as per the requirements of the laws. Some requirements include drafting of articles and memorandum of association, appointing directors, and registering the corporation.

The shareholder can then apply to be an S incorporation if they meet the requirement. Some of them are

1. Should not have more than 100 shareholders

2. Shareholders should be individual or some exempt entities.

3. Have one class of stock

You might be interested in

Naomi is sixteen and she would like to open a savings account. Select each of the steps she will need to take.

shtirl [24]

I think its all the above except for they might be trying to trick you because at sixteen a guardian or parent has to sign aswell.

6 0

3 years ago

The date a cash dividend becomes a binding legal obligation to a corporation is theA. payment date.B. record date.C. earnings da

Usimov [2.4K]

Answer:

D. declaration date.

Explanation:

The dividend payment becomes legal obligation, when it has been declared by Directors and approved by shareholders in annual general meeting of the company.

The date on which the upcoming dividend payment is announced and declared by the board directors of the company is known as declaration date.

Therefore, the answer is D. declaration date.

3 0

3 years ago

An establishment has three departments with variable costs as a percentage of sales revenue of 30 percent, 40 percent, and 50 pe

zalisa [80]

Answer:

60 percent

Explanation:

Contribution margin refers to the revenue a firm derives after deducting the variable cost it has incurred.

Contribution margin = Sales - Variable costs

Contribution margin or contribution to sales ratio represents the percentage of contribution a firm earns from the sale of it's output.

It is represented mathematically as,

= $\frac{Contribution\ margin}{Sales}$

Also, contribution margin ratio = 100 - variable cost ratio percentage.

Hence, contribution margin for three departments would be:

A = 100 - 30% = 70%

B = 100 - 40% = 60%

C = 100- 50% = 50%

This represents if sales revenue is 100, contribution margin earned is 70, 60 and 50 under three cases.

Since sales revenue in all three departments is the same, let us assume the sales revenue of a department as y.

$\frac{0.70y\ +\ 0.60y\ +\ 0.50y}{3y}$

Thus, weighted average contribution margin would be, 60 percent

7 0

3 years ago

Engberg Company installs lawn sod in home yards. The company’s most recent monthly contribution format income statement follows:

katovenus [111]

Answer:

* The company’s degree of operating leverage: 1.38;

* The impact on net operating income of a 22% increase in sales: it will increase by 30.4%;

* New contribution format income statement:

Engberg Company

Contribution format income statement

Amount Percentage of sales

Sales $176,900 100%

Variable expenses 70,760 40%

Contribution margin 106,140 60%

Fixed expenses 24,000

Net operating income 82,140

Explanation:

* The company’s degree of operating leverage = Contribution / profit = 87,000/63,000 = 1.38

* The impact on net operating income of a 22% increase in sales is calculated as: Degree of operating leverage x % changes in sales revenue = 1.38 x 22% = 30.4%.

* new contribution format income statement is shown in the answer part.

4 0

3 years ago

A hedge fund with $1 billion of assets charges a management fee of 2% and an incentive fee of 20% of returns over a money market

iren [92.7K]

Missing information:

a. −5%

b. 0

c. 5%

d. 10%

Answer:

a. only management fees = $20,000,000

b. only management fees = $20,000,000

c. only management fees = $20,000,000

d. $30,000,000 (management fees + $10 million incentive fee)

Explanation:

management fee 2%

incentive fee 20% of returns if total returns are over 5%

common fees for every situation (managers always win even if investors lose):

$1,000,000,000 x 2% = $20,000,000

a. −5% , no incentive fee

b. 0 , no incentive fee

c. 5% , no incentive fee

d. 10%, incentive fee = (10% - 5%) x 20% x $1,000,000,000 = $10,000,000

6 0

3 years ago