Answer:
Please check below for answer.
Explanation:
Exchange can be defined as the process of providing goods and services by an individual or organization, to meet the needs of customers in exchange for an amount of money.
Hence, the five conditions that must exist for an exchange to occur are;
1. There must be at least two parties involved.
2. Each party has something that might be of value to the other party.
3. Each party is capable of communication and delivery.
4. Each party is free to accept or reject the offer.
5. Each party believes it is appropriate or desirable to deal with the other party.
Answer:
$12.22 per share
Explanation:
The computation of the stock price one year from now is shown below;
Current EPS = Net Income ÷ Number of shares
= $95,000,000/5,500,000
= $17.2727
Now
P/E Ratio = Market Price per share ÷ Earnings per share
= $14.75 ÷ 17.2727
= 0.8539 times
Now
Revised EPS = $95,000,000 × 1.25 ÷ 8,300,000
= $14.3072
So, the Price is
= 14.3072 × 0.8539
= $12.22 per share
An issue disturbing the continuation of an activity
Answer:
a. debit to bad Debt expense for $3,300
Explanation:
The Journal entry is shown below:-
Bad debt expenses Dr, $3,300
To Allowance for doubtful accounts $3,300
(Being bad debts expenses is recorded)
Therefore to record the bad debt for the period we simply debited the bad debt expenses as it increase the expenses and on the other hand we credited the allowance for doubtful accounts as decrease the assets.
So, the right answer is a. debit to bad Debt expense for $3,300 option.
Working Note:-
Bad debt expenses = Estimated uncollectible - Credit balance
= $4,500 - $1,200
= $3,300
I guess the correct answer is 6.48%
If Curtis invested in the Initech, Inc. bonds, The after-tax rate of return from this investment is 6.48%.
Since, [(1 - 0.28) × (250,000 × .09)]/250,000 = .0648.
