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Allisa [31]
3 years ago
5

Q 11.5: A corporation purchases 4,000 shares of its own $5 par common stock for $8 per share, recording it at cost. What will be

the effect on total stockholders' equity?
Business
1 answer:
BaLLatris [955]3 years ago
7 0

Answer:

decrease of 32,000 dollars

Explanation:

the treasury sotck are recorded at cost:

4,000 shares x $8 per share = $32,000

the treasury stock is a contra.equity account that decreases the total stockholders' equity

As this shares are no longer outstading they are held by the firm thus, the capital fund of the firm are lower.

Also notice asset decrease as well because we use cash to acquire them.

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The reciprocals of one another is the term that describes the relationship between the flow rate and the capacity of each labor resource that works in a process.

<h3>What is a flow rate in production?</h3>

Its means the amount of flow units such as a customers, money, goods going through the business process per unit time.

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1 year ago
A company purchases a remote site building for computer operations. The building will be suitable for operations after some expe
KIM [24]

Answer:

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Explanation:

As for the information provided,

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The capital expenditure is added in the cost of fixed assets and then depreciated as part of it.

The entire replacement of roof will be a huge part of consideration of building, and is capital in nature. Thus, it shall be part of cost of building.

Remaining all expenses are not capital in nature.

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3 years ago
There are numerous exceptions to the parol evidence rule, with perhaps the most common being when ________ evidence serves to cl
jeka94

The parol evidence rule has many exceptions, with possibly the most prevalent one being when <u>oral</u> evidence serves to clear up a(n) <u>ambiguous</u> part of an  agreement.

More about the parol evidence rule:

The parol evidence rule is a principle of Anglo-American common law that controls the types of evidence that parties to a contract dispute may provide in an effort to ascertain the precise terms of the contract.

The parol evidence rule also prohibits parties who have reduced their agreement to a finalized written instrument from adding further evidence later on as proof of a different intent regarding the contract terms, such as the content of oral exchanges from earlier in the negotiation process.

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