Answer:
The total of adjusted trial balance debit and credit side is $159 after posting the given transactions. The sheet is attached with the full working showing both of the trial balances - un-adjusted and adjusted one.
Explanation:
Following journal entries were posted in the trial balance to adjust it.
<u>Transaction a:</u>
Debit: depreciation expense $3
Credit: accumulated depreciation $3
<u>Transaction b:
</u>
Debit: salaries expense $6
Credit: accrued salaries $6
<u>Transaction c:</u>
Debit: Unearned revenue $12
Credit: Revenue $12
When unearned revenue is earned, it is removed from unearned revenue by debiting it and then it is credited to the revenue for the period.
<u>Transaction d:</u>
Debit: supplies expense $9
Credit: supplies $9
<u>Transaction e:</u>
Debit: insurance expense $15
Credit: Insurance prepaid $15
When the insurance is expired, it is deducted from the prepaid insurance by crediting it from prepaid insurance account and it is debited to insurance expense account.
Answer:
Follows are the solution to this question:
Explanation:
In point a:
If the parent firm doesn't hold the conglomerate's equity stake, depreciation expense acknowledged by the parent company's owner and expenditures shall be removed throughout the consolidated statement of financial position. Its combined cash flow deletes debts previously recognized as assets for both the parent corporation and as debts for all the subsidiaries to offer a real and equal view. All the intragroup balance should be removed to avoid double-counting of financial assets resulting from payments in between the group's members.
In point b:
If a parent company has a stake in a subsidiary that is called noncontrolling interest over 50%, but less than 99 percent. Its parent company shall report a different non-controlling interest line on the income statement and revenue report to reveal its noncontrolling interest.
In point c:
Its Group of non - management Concerns may not claim responsibility mostly on a share of a benefit, doesn't have any influence from over parent's decision. Intra-group payments in a word-level shall be removed.
In point d:
Its NCI share of the opening in net assets of the subsidiary + NCI share of even an amortization fair value + NCI profits due to NCI - (dividend payable to the noncontrolling shareholder) = unlawful interest at the date of the merger is three steps for the calculation of total the uncontrol value.
Answer:
Cost of equity = 10.7%
Explanation:
<em>We will work out the required rate of return using the the dividend valuation model. The model states that the value of a stock is the present value of the future divided discounted at the cost of equity.
</em>
The model is given below:
P = D× (1+g)/(r-g)
P- price of stock, D- dividend payable now, g- growth rate in dividend, r- cost of equity
So we substitute
130 = 5.50× (1+r)/(r-0.06)
cross multiplying
(r-0.06)× 130 = 5.50 × (1+r)
130 r- 7.8 = 5.50 + 5.50r
collecting like terms
130 r - 5.50r=5.50 + 7.8
124.5 r= 13.3
Divide both sides by 124.5
r =13.3 /124.5= 0.1068
r=0.1068 × 100= 10.7%
Cost of equity = 10.7%
Answer:
The activities of the Federal Reserve Board have the most direct influence on: bank interest rates, monetary policy (interest rates, credit, etc.)
