Answer:
($39,700)
Explanation:
Cash outflows:
($40,000) exchanged for common stock.
($1,200) used to pay salaries.
Cash inflows:
$1,500 received from a sale
So we have a negative 41,200 representing cash outflows, and only $1,500 in cash inflows (we are not told if the $200 billed were already received so I will leave them out). Making a simple arithmetic operation, we obtain the answer:
Cash balance = -$41,200 + $1,500
= -$39,700
Answer: B. 7%; 2%
Explanation:
0ver the past 100 years, stocks have showed a positive average return of 7% whilst bonds have shown a return of 2%. This makes sense because stocks generally offer higher returns than bonds which are fixed.
Stocks react to a variety of factors including interest rates and market fluctuations which makes them more risky whereas bonds which are fixed income securities are more stable in their returns making them less of a risk.
Stocks therefore offer a higher return to compensate for this risk as opposed to bonds.
Answer:
stock price
earning per share
dividends per share
Explanation:
A stock split is when a company increases the number of its shares outstanding.
for example if a company has 4 million shares outstanding at a price of $20, earning per share is $1 and dividend per share is $0.50. this company announces a 2 for 1 split :
the number of outstanding shares becomes 2 x 4 million = 8 million
stock price becomes = $40 / 2 =$20
earning per share = $1 / 2 = $0.50
dividend per share = $0.5 / 2 = $0.25
Answer:
net income $72,000
Explanation:
The computation of the amount that should be reported is shown below:
Revenue $600,000
less:
operating expense -$420,000
restructing costs -$100,000
interest expense -$20,000
Add: gain on sale of investments $30,000
EBIT $90,000
less income tax at 20% - $18,000
net income $72,000
Answer:
4. Martha's average utilities
Explanation:
As in the question, it is given that Martha has signed a listing agreement with the Broker Patrick.
The listing agreement refers to a contract between the real estate broker and the real estate owner that allows the broker the authority to act as a property sales agent.
The terms and conditions which are mentioned the listing contract are presented below:
a. Starting and expiration date of the contract
b. Patrick's commission
c. Martha's priced. Other terms and conditions
