Answer:
B. preference shares
Explanation:
Option A is wrong because equity shares provide a different rate of dividends to a shareholder. Equity shares are known as ordinary shares. Therefore, option C is wrong.
There are no priority shares in the components of stockholders' equity. Hence option D is wrong.
Investment security does not give any dividends. So option E is wrong.
Option B is correct because preference shares give a fixed rate of dividend.
Answer:
They are too restrictive in economic freedom
Explanation:
Answer:
Present
Explanation:
An outlay cost is a cost incurred at the time when we have to execute the strategy or purchasing an asset. It can be paid to the vendors for purchasing the goods like for inventory. So this cost should be recognized as an expense when they are incurred in order to earn the revenue in the current or present accounting period
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Answer:
B) 60,100
Explanation:
Since months have passed between the bond issuance and October 31. The amortization of the premium received depends on the amount of interest recognized. When the effective interest method is used, interest expense is based on the yield rate and the beginning book value.
interest expense = ($1,000,000 + $62,000) x 10% x 6/12 = $53,100
interest payable = $1,000,000 x 11% x 6/12 = $55,000
the difference (bond premium) = $55,000 - $53,100 = $1,900
unamortized bond premium = $62,000 - $1,900 = $60,100
