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Annette [7]
3 years ago
14

On January 1, 2019, Cullumber Company had $1,000,000 of common stock outstanding that was issued at par. It also had retained ea

rnings of $740,000. The company issued 35,000 shares of common stock at par on July 1 and earned net income of $390,000 for the year.
Required:
Journalize the declaration of a 14% stock dividend on December 10, 2020, for the following independent assumptions.
a. Par value is $10, and market price is $18.
b. Par value is $5, and market price is $20.
Business
1 answer:
Flauer [41]3 years ago
4 0

Answer:

<em>a. Par value is $10, and market price is $19. b. Par value is $5, and market price is $20.</em>

Explanation:

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If you're unsure of what chart to use for a set of data, what feature does Excel include that will help you to decide? A. Sparkl
meriva

Answer:

B. Recommended Charts

Explanation:

If you are unsure of the best chart option for your data use the Recommend Charts button. It will open the Insert Chart window shown here. When you select a chart, three buttons appear along the right side of the selection

6 0
3 years ago
DAR Corporation is comparing two different capital structures, an all-equity plan (Plan I) and a levered plan (Plan II). Under P
Eddi Din [679]

Answer:

a) Share price of company is $28.20.

b) So value of unlevered firm is $4.512 million.

Explanation:

a.

Share price = Value of debt / (160,000 - 110,000)

= $1,410,000 / 50,000

= $28.20

Share price of company is $28.20.

b.

VAlue of all equity firm = Number of share outstanding × Price per share

= 160,000 × $28.20

= $4.512 million

Value of levered firm is $4.512 million.

Since tax rate is zero, so value of levered firm equal to value of unlevered firm.

So value of unlevered firm is $4.512 million.

6 0
3 years ago
Absolute v. comparative advantage activity this chart shows how many units of tractors and cotton workers can produce in the uni
goldenfox [79]

Answer: a). Spain

b). none

c). 2.4

Explanation: a). Absolute advantage occurs when a country produces more of a good than the other country. In this case, Spain produces 50 units of Tractors while, Bolivia produces only 30 units of Tractors. Thus, Since Spain is producing more it has an absolute advantage in Tractors.

b). Both the countries are producing equal units of Cotton. Thus, we can say that none of them has an absolute advantage in cotton production.

c. Opportunity cost is the cost of the lost alternative. When Spain produces Tractors it is sacrificing production of Cotton. So, opportunity cost on 1 unit of Tractor will be,

Opportunity cost = \frac{120}{50} =2.4

Thus, 2.4 units of cotton which is given up is the opportunity cost of Spain for producing 1 unit of Tractor.

4 0
3 years ago
At the beginning of the day, the dow jones index was at $10,287.56. at the end of the day, the dow jones index was at $10,005.23
ehidna [41]
<span>(10,287.56 - 10,005.23) / 10,287.56 = 
(282.33) / 10,287.56 = 0.0274
0.0274/100 = 2.74%
</span><span>At the beginning of the day, the dow jones index was at $10,287.56. at the end of the day, the dow jones index was at $10,005.23. </span>The rate of change of the dow jones on this particular day is 2.74%
7 0
3 years ago
The depreciation deduction for year 11 of an asset with a 20-year useful life is $4,000. If the salvage value of the asset was e
PtichkaEL [24]

Answer:

The answer is $80,000

Explanation:

The formula for straight-line depreciation is:

[Cost of asset - salvage value(if any)] ÷ useful life of the asset

Depreciation = $4,000

Cost of asset= ? (represented by y)

Useful life of the asset = 20 years

$4,000 = y ÷ 20 years

y is $4,000 x 20 years

y = $80,000

Therefore, the initial cost of the asset was $80,000

7 0
3 years ago
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