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a_sh-v [17]
3 years ago
14

A share of preferred stock for Marshall Manufacturing currently sells for $120. It offers the investor a dividend rate of 8%, on

a par value of $100.
Business
1 answer:
Komok [63]3 years ago
5 0

Answer:

Po = $120

D = 8% x $100 = $8

Kp = D/Po

Kp = 8/120

Kp = 0.0667 = 6.67%

Explanation:

The question requires the computation of cost of preferred stock. In this case, we will calculate the current dividend paid based on the par value of the stock. Then, we need to divide the current dividend paid by the current market price of the stock. This gives cost of preferred stock.

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The opportunity cost of an action: can be determined by considering both the benefits that flow from as well as the monetary cos
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Evgesh-ka [11]

Answer:

The manufacturing overhead applied to work in process is:

D. $79,000

Explanation:

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Beginning work in process inventory          30,000

Direct materials used in production            50,000

Direct labor                                                   60,000

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