Answer:
The external financing needed to support this level of growth would be $49,535.
Explanation:
The complete formula (EFN) is expressed as:
EFN = (A/S) x (Δ Sales) - (L/S) x (Δ Sales) - (PM x FS x (1-d))
d=dividend payout ratio
= $28,200/$94,000= 0.3
EFN = $913,600(.15) − $78,900(.15) − $94,000(1.15)[1 − 0.3)}
EFN = 137040 - 11835 - 108100(0.7)
EFN = 125205 - 75670
EFN= $49,535
Answer:
3. Opportunity Cost
1. Marginal Decisions
2. Resource Scarcity
Explanation:
Opportunity cost or implicit is the cost of the next best option forgone when one alternative is chosen over other alternatives.
If David buys the camera he would forgo the opportunity to buy a tv and if he buys a tv, he forgoes the opportunity to buy a camera.
Marginal decisions look at the benefit of increasing or decreasing an input by little units. Here, the educational company is considering the marginal benefit of increasing the numbers of economist by one unit.
Ava has limited time to do all she would like to do. Time here is a scarce resource. Her wants her limited but the resources are scarce.
Answer:
the journal entry to record bond issuance:
Dr Cash 1,444,000
Dr Discount on bonds payable 76,000
Cr Bonds payable 1,520,000
amortization of discount on bonds payable = $76,000 / 5 = $15,000
coupon payment = $91,200
total interest expense per year = $106,200
total interest expense for the 5 year period = $106,200 x 5 years = <u>$531,000</u>
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Answer – B (He could fill out a FAFSA form to determine what
financial aid he would qualify for)
<span>The Free Application for Federal Student
Aid (FAFSA) form can be filled out annually by both current and soon-to-be
college students in the United States to determine whether they are qualified
for student financial aid.</span>
Answer:
The cash flow from operating activities was $7,000.
Explanation:
Ending Cash Balance
= Opening Cash Balance + Cash Flow from Operating Activities + Cash Flow from Investing Activities + Cash Flow from Financing Activities
$24,000 = $47,000 + Cash Flow from Operating Activities - $250,000 + $220,000
Cash Flow from Operating Activities = $24,000 - $47,000 + $250,000 - $220,000
= $7,000
Therefore, The cash flow from operating activities was $7,000.