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3 years ago

How are dividends and dividends payable reported in the financial statements prepared at december 31

Business

1 answer:

Agata [3.3K]3 years ago

4 0

Answer:

1. Dividends are deducted from the Statement of Retained Earnings as dividend expenses.

2. Dividends payable are reported in the Balance Sheet as current liabilities.

Explanation:

Dividends are distributions to the shareholders from earnings (income) after all expenses and taxes have been deducted from the revenue for the period. Dividends payable are unpaid dividends, which are reported as current liabilities until they are paid for in the next accounting period.

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Evaluate the potential of acquisitions of a) Santa Isabel and b) Royal Ahold? What do you recommend?

zepelin [54]

Acquisition is never an easy feat. One of the problems that was associated with the acquisition of Santa Isabel by Royal Ahold, was that in that year, Ahold's books went red. The reason for this was put on Santa Isabel.

<h3>What is an acquisition?</h3>

An acquisition in business refers to the purchase of majority stake in a company. This is known as a partial acquisition.

In some cases, there are 100% acquisitions. In this case, there was first a partial acquisition to the tune of 70%.

This translated to unwarranted legal battles for Royal Ahold who was asked to pay more for the remaining 30% by a minority shareholders.

The recommendations must come from a technical/financial analysis of what the opportunities are for Royal Ahold should they gain 100% control of the company.

Learn more about Acquisition at;
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3 0

2 years ago

Hurry!! #10

lord [1]

It should be specific

7 0

3 years ago

A machine cost $239,800, has annual depreciation expense of $47,960, and has accumulated depreciation of $119,900 on December 31

alisha [4.7K]

Answer:

April 1, 2021

Dr Depreciation expense 11,990

Cr Accumulated depreciation 11,990

April 1, 2021

Dr Machinery, New $281,800

Dr Accumulated depreciation- Machinery 123,890

Dr Loss on disposal of machinery 19,590

Cr Cash 185,480

Cr Machinery, Old $239,800

Explanation:

Preparation of all entries that are necessary at April 1, 2021.

April 1, 2021

Dr Depreciation expense 11,990

Cr Accumulated depreciation 11,990

(47,960 * 3/12)

(Being To record depreciation)

April 1, 2021

Dr Machinery, New $281,800

Dr Accumulated depreciation- Machinery (111,900+11,990) 123,890

Dr Loss on disposal of machinery 19,590

[185,480+$239,800-($281,800+123,890)]

Cr Cash 185,480

($281,800-$96,320)

Cr Machinery, Old $239,800

(Being To record the exchange of machinery)

7 0

3 years ago

Selected information from Dinkel Company's 2018 accounting records is as follows: Proceeds from issuance of common stock $ 800,0

pochemuha

Answer:

Dinkel's statement of cash flows for the year ended December 31, 2018, would show net cash provided (used) by financing activities of $2,750,000.

Explanation:

Dinkel Company

Statement of cash flows (extract)

Proceed from issuance of common stock $800,000

Proceed from issuance of bonds 2,400,000

Cash dividend on common stock paid (290,000)

Cash dividend on preferred stock paid (120,000)

Purchase of treasury stock (240,000)

Proceed from sale of stocks 200,000

Net cash provided (used) by financing activities $2,750,000

3 0

4 years ago

Credits to customer accounts and credits to other accounts are individually posted from a cash receipts journal such as the one

Nadusha1986 [10]

Answer:

Please see attachment

Explanation:

Please see attachment

4 0

3 years ago