1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
PilotLPTM [1.2K]
3 years ago
12

Jensen performed legal services to assist Balm Co. in accomplishing its initial organization. Jensen accepted 1,000 shares of $5

par common stock in Balm as payment for his services. The Balm shares were not yet publicly traded, but they had a book value of $4 per share. Jensen provided 48 hours of service, which is normally billed at $125 per hour. By what amount should the common stock account increase?
Business
1 answer:
KiRa [710]3 years ago
8 0

Answer: $5,000

Explanation:

The Common Stock account of a company will record stock only at the Par Value so that the Balance sheet is more accurate.

As such, the common stock account here will increase by;

= 1,000 * $5 par value

= $5,000

You might be interested in
What should be the price of a stock with a beta of 0.7 that just paid a dividend of $1.25 that is expected to grow at 4% if the
Montano1993 [528]

Answer: $32.05

Explanation:

Beta = 0.7

Dividend = $1.25

Growth rate = 4%

Risk free rate = 3%

Market return = 10%

Since, Required return = risk free rate + beta × (market rate - risk free rate)

We will then slot in the values and.this will be:

= 3% + 0.7 × (10% - 3%)

= 3% + (0.7 × 7%)

= 3% + 4.9%

=7.9%

The price of the stock will then be:

= D1/(Required return-Growth rate)

=1.25 / (0.079 - 0.04)

= 1.25 / 0.039

= $32.05

4 0
3 years ago
In measuring an impairment loss for a financial asset under U.S. GAAP and under IFRS, the carrying value of the financial asset
Vitek1552 [10]

In measuring an impairment loss for a financial asset under U.S. GAAP and under IFRS, the carrying value of the financial asset would be compared to:

under U.S. GAAP Fair value and under IFRS recoverable amount.

Explanation:

In US GAAP, the cost of financial asset depreciation is calculated as the difference between carried value and fair value; in compliance with IFRS, a loss of financial asset impairment is defined as the difference between carrying value and the percentage of the asset that can be recouped.

In compliance with US-based ASC 360-10-35-20. The recovery of a historically identified impairment loss (or "restoration") is forbidden because an item is deemed to have a new cost base after an impairment loss has been registered.

7 0
3 years ago
Things that will make an entrepreneur successful
kodGreya [7K]
To start off a solid plan, without a plan you will never succeed especially when it cleans to business and making your own product, trying to make and sell something without a plan will guide that new idea straight to the ground
5 0
2 years ago
A degree of aggressive procurement involvement not normally encountered in supplier selection refers to ____. Group of answer ch
Dmitriy789 [7]

Answer:

supplier development.

Explanation:

A degree of aggressive procurement involvement not normally encountered in supplier selection refers to supplier development.

Supplier development is a business strategy and it involves the process of working one-to-one basis or closely with certain suppliers in order to improve and boost their performance for the benefit of growing and developing an organization.

It is a concept that is also similar to reverse marketing in business management. It is a strategic business plan which is aimed at improving the quality and performance of suppliers by availing them resources they need to achieve success and have competitive advantage in the supply chain.

For instance, a buying organization might decide to implore suppliers to enter an emerging market.

Also, another example of the supplier development is, in order to prevent the wide-spread of Corona virus, CDC is ensuring its suppliers of ppe (personal protective equipment) are continuously supplying face masks.

8 0
3 years ago
Which days can be selected as the first day of the week for a calendar?
Dovator [93]
Sunday or Monday, depending on what loacation.
6 0
3 years ago
Other questions:
  • Orange Cable TV Company, an accrual basis taxpayer, allows its customers to pay by the year in advance ($500 per year), or two y
    7·1 answer
  • What can you achieve by selecting insert in the table menu
    13·1 answer
  • You have just started a new web-based business, and now you realize that if you want your company to succeed, you will have to c
    5·1 answer
  • When Maria, the keynote speaker at a major business leaders' conference, arrived in the middle of the night at the Ritz-Carlton,
    6·1 answer
  • Legislates and enforces regulations that
    6·1 answer
  • Using websites such as the U.S. Census Bureau is an example of what type of data source?
    11·2 answers
  • Tannin Products Inc. prepared the following factory overhead cost budget for the Trim Department for July of the current year, d
    9·2 answers
  • If I Want to be a Child Pycoligest, what would the steps be to become this.​
    14·1 answer
  • The consequences of poor<br>mangement to the government<br>and society .​
    8·1 answer
  • Erica's Country Furniture sells wooden chairs for $179.49. It buys the chairs from a craft shop for $87.49 each. Its overhead ra
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!