No. of shares outstanding before stock dividend = 634000
Price per share = $46
Stock dividend issued (shares issued) = 634000 x 13%
= 82,420
Value of stocks issued as stock dividend = 82420 x $46 = $3,791,320
No. of shares outstanding after stock dividend = 634,000 +82,420
=716420
Cash dividend = 716420 x 0.60
= 429,852
Total reduction in retained earnings = total value of dividend issued
= $3,791,320 + $429,852
= $4,221,172
<span>Fortunately, this is a simple calculation to compute; use the value of your starting direct materials inventory, your direct materials purchased and your direct materials used to find the ending inventory of direct materials.</span>
Answer:
$4,551,701
Explanation:
Global Shippers Inc. has forecast earnings of $1,233,600, $1,345,900, and $1,455,650 for the next three years. The future value of these will be $4,551,701 earnings if the firm's opportunity cost is 13 percent.
Solution :
It is given that :
Amount of investment or the principle amount , P = $ 100
Time of investment , t = 6 years
Rate of interest compounded annually r = 6 %
Therefore the future amount of this investment in a 6 year time is given by,
Therefore, after 6 years the investment of $ 100 will give an amount of $ 141.