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
9966 [12]
3 years ago
12

Novak Corp. has had 4 years of net income. Due to this success, the market price of its 300,000 shares of $5 par value common st

ock has increased from $11 per share to $54. During this period, paid-in capital remained the same at $4,290,000. Retained earnings increased from $1,790,000 to $12,900,000. President E. Rife is considering either a 17% stock dividend or a 2-for-1 stock split.
He asks you to show the before-and-after effects of each option on retained earnings.
Retained earnings after stock dividend
Retained earnings after stock split
Business
1 answer:
Andre45 [30]3 years ago
6 0

Answer:

Retained earnings after stock dividend  = $10,146,000

Retained earnings after stock split = $12,900,000

Explanation:

1. Retained earnings after stock dividend amount is: 300,000*17%*54 = $2,754,000. The new balance of retained earnings is = $12,900,000 - $2,754,000 = $10,146,000

2. The retained earning after stock-split will not change and it is same as $12,900,000

You might be interested in
On January 1, Jamaica Company purchased equipment for $18,000. The estimated salvage value is $2,000 and the estimated useful li
Elanso [62]

Answer:

Depreciation expense on third year is $2,400

Explanation:

First, we must compute the depreciation expense for the first 2 years.

($18,000 - 2,000)/5years = $3,200 depreciation expense per year.

Second, let’s compute the net book value before the adjustment.

$3,200 x 2 years = $6,400 (total depreciation for 2 years)

$18,000 - $6,400 = $11,600 (Net book value before adjustment)

Finally we can now compute the Depreciation expense on the third year.

($11,600 - $2,000) / 3+1

$9,600/4 = $2,400 (new depreciation expense on third year)

8 0
3 years ago
When working with international firms, U.S. businesses Multiple Choice expect socially responsible behavior from their business
Brilliant_brown [7]

When working with international firms, U.S businesses expect socially responsible behavior from their business partners.

<h3><u>Why do U.S businesses increasingly focus on international businesses?</u></h3>

American businesses are aware that doing business abroad will boost productivity and broaden their population, which will promote economic expansion. Since the beginning of time, there have been numerous international exchanges, and American businesses now recognize the advantages of offering their services abroad.

To cut costs, some US companies relocate abroad. To grow their business, other companies venture abroad. Many companies can successfully operate on a global scale.

You can learn more about international business using this link:

brainly.com/question/15054188

#SPJ4

4 0
2 years ago
A research report should NOT be which of the following?
melomori [17]
Which are the following
3 0
3 years ago
The following information is available for the first month of operations of Bahadir Company, a manufacturer of mechanical pencil
djverab [1.8K]

Answer:

COGS = 187,370‬

ending finished goods = 37,300

Direct Materials used  =  119,970

Labor =    26,070

ending WIP  =  33,690

Explanation:

Sales - COGS = gross Profit

449,330 - COGS = 261,960

449,330 - 261,960 = COGS = 187,370‬

Cost of goods manufactured 224,670

less Cost of Goods Sold of    (187,370)

ending finished goods            37,300

Materials purchased            138,390

Materials inventory, ending<u> (18,420)</u>

Direct Materials used            119,970

Materials + Labor + Overhead = COGM

119,970 + Labor + 97,500 + 14,820 = 258,360

Labor = 258,360 - 232,290

Labor =    26,070

Then Cost added less Cost of Goods Manufacured = ending WIP

258,360 - 224,670 = 33,690

5 0
3 years ago
Read 2 more answers
If Congress passed a tax increase at the request of the president to reduce the budget deficit, but the Fed held the money suppl
kifflom [539]

If Congress passed a tax increase at the request of the president to reduce the budget deficit, but the Fed held the money supply constant, then the two policies together would generally lead to lower income and a lower interest rate.

<h3>What is budget deficit?</h3>

When ongoing expenses are higher than regular operating revenue, a budget deficit results. Budget deficits may result from specific unforeseen circumstances and initiatives. Tax increases and spending reductions are two ways that nations might deal with budget problems.

Inflation, or the ongoing rise in prices, is one of the main threats posed by a budget deficit. A budget deficit in the US may lead to the Federal Reserve releasing more money into the economy, which fuels inflation. Year after year, ongoing budget deficits may result in inflationary monetary policy.

The relationship between deficits and interest rates is more clearly demonstrated when the deficits are used to fund government spending than by tax reductions. If tax cut recipients save part of the money they receive from the tax cut, the impact of the tax cut on interest rates should be minimized.

To know more about budget deficits refer to:  brainly.com/question/14181631

#SPJ4

4 0
2 years ago
Other questions:
  • As a graphic artist, nate has just finished producing a new calendar. his calendar cost him $1.00 for the shiny paper, $2.00 for
    14·1 answer
  • Several legal steps must sometimes be taken before a creditor can have his outstanding debt satisfied through the sale of the de
    11·1 answer
  • Another reason fueling the boom in fast-growing technology services is _____, which, when done right, can virally spread awarene
    15·1 answer
  • Prior, Inc. has decided to raise additional capital by issuing $175,000 face value of bonds with a coupon rate of 10%. In discus
    14·1 answer
  • Although best used as a last resort, many small businesses find it convenient to use __________ as a short-term source of financ
    7·1 answer
  • When a firm gets so large that coordination and management of workers and other inputs becomes costly and difficult, it is exper
    8·1 answer
  • Assess how the leadership team you designate will affect organizational performance in the short-term and the long-term.
    8·1 answer
  • In agriculture, a "bumper crop" refers to a particularly productive harvest. If there is a bumper crop for wheat at the same tim
    14·1 answer
  • What are the factors influencing consumer behavior economic factor
    12·1 answer
  • Identify the correct definition of an asset. Multiple choice question. An asset is an amount owed to a creditor. An asset is a r
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!