Answer:
The correct option is $7,option C
Explanation:
The approach here is that we calculate the value of the firm after the cash dividend distribution ,which is simply the value of operations of $1000 since the short-term investments of $100 has been used in paying dividends.
Thereafter,the value of equity is the value of operations of $1000 minus the value of debt at $300,that is $700 ($1000-$300).
Finally intrinsic share price=value of equity/number of shares
number of shares is 100
intrinsic value per share=$700/100=$7 per share
There are several situations when the government has to interfere with a pure market outcome. If the price of a product rises without any significant cause or if there is more supply than demand of a market, then the government can put a price ceiling or floor price of a product. This is purely to keep the economy of a country or state stable.
Answer:
Market Research.
Explanation:
The collection and analysis of information aimed at understanding the behavior of consumers is called market research.
Market research can be defined as a management strategy that focuses on systematically acquiring informations about occasions, trends, events or patterns through surveys and analysis of information pertaining to the customers of a business firm or organisation. The informations acquired through market research is then used by the executive management and sales department in strategically planning the organisation's future and exploitation of available opportunities for the success of the organization.
Answer: d. the investment should be reported at a value of $28,000.
Explanation:
Investments should be recorded at their fair value in the financial statements. If a loss is made but the company is still holding on to the investment then the loss is unrealized which is the case here.
When there is an unrealized loss, it is to be debited to the Unrealized loss account and credited to the investment account to show that it is reducing. This will then leave the balance of the investment account at the fair value which in this case is $28,000.
Answer: $88,889
Explanation:
Based on the information given in the question, the cost of Human Resources that would be allocated to Cafeteria will be calculated thus:
Number of employees (Human Resources to departments)
= 20 + 100 + 150
= 270 employees
The Human Resources cost would be allocated to Cafeteria will be:
= $1,200,000 / 270 x 20
= $88,889