Answer:
$140 million
Explanation:
Given that,
Ending Retained Earnings = $1,140 million
Beginning Retained Earnings = $1,200 million
Net Income = $80 million
Ending Retained Earnings = Beginning Retained Earnings + Net Income - Dividends
$1,140 million = $1,200 million + $80 million - Dividends
Dividends = $1,200 million + $80 million - $1,140 million
= $140 million
Therefore, the dividend of $140 million were paid to shareholders during the year.
Answer:
Extend the useful life of an asset beyond its original estimate
Explanation:
An extraordinary repair is a major repair that is done to an asset that extends the asset's useful life beyond what was forecasted initially. In other words, an extraordinary repair is an overhaul or upgrade or hat makes an asset to last longer.
Extraordinary repairs are capitalized. This means that the cost of repair increases the asset's book value thereby increasing the depreciation expenses over the asset's revised remaining life.
Answer:
The correct answer is option b.
Explanation:
The sole proprietor of the Milwaukee Machine Company receives all accounting profits earned by her firm.
The accounting profits for the year were $50,000.
She has a standing salary offer of $35,000 a year to work for a large corporation. If she had invested her capital outside her own company, she estimates that would have returned $22,000 this year.
These two are the implicit or opportunity cost of doing business.
The accounting profits considers only explicit cost not implicit cost. To calculate economic profits we need to deduct implicit costs from accounting profits.
Economic profits
= Accounting profits - Implicit costs
= $50,000 - $35,000 - $22,000
= - $7,000
Answer:
Non negotiable Instruments
Explanation:
Non negotiable instruments are documents that guarantees(without changes) the payments of a specific amount of money, whose payer is usually named on the document. Non negotiable instruments may not be transferred from the holder or named party to another.
The non negotiable instrument usrd in this case between sandra and Joshua is a promissory note that states the terms and details of the repay or payback. Normally, a promissory note falls under the negotiable instrument, but because it contains a reference to another document, it then becomes a non negotiable instruments.
Answer:
Assuming an amount of $200,000 the riskiest transaction is:
Commercial Paper
Explanation:
A certificate of deposit is a fixed savings account in which the account holder deposits some amount for a fixed period in return for the interest payable by the bank, including the initial deposit.
A commercial paper is a short-term corporation debt issued to finance the purchase of inventories and payment of accounts payable, payroll, and other short-term corporate debts.
A Banker's Acceptance is a short-term guarantee issued by a bank to make it legally binding on the bank to pay an amount arising from a business relationship between a customer and a seller. It is usually used when the seller and the customer have not established a strong credit relationship.
Repurchase Agreements are short-term debts established by dealers in government securities. The dealer sells government securities to investors, usually on an overnight basis, so that they can buy them back the following day at slightly higher prices.
