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3 years ago

The primary operating goal of a publicly-owned firm interested in serving its stockholders should be to.

1 answer:

3 0

The primary goal of a publicly owned firm interested in serving its stakeholders would be to Maximize the stock price per share.

<h3>How a stock price is maximized</h3>

The faster this firm grows, the more people would want to invest and buy its stock. This would cause them to pay higher.

As the supply of this stock stays constant due to the increased demand it has, the price of the stock would increase.

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Which of the following is not considered a legitimate expense of a partnership? a Interest paid to partners based on the amount

never [62]

Answer:

a Interest paid to partners based on the amount of invested capital.

Explanation:

A partnership is formed between two parties that agree to go into a venture for mutual gain. The parties share ownership of the business entity and as such are entitled to profit from their equity holdings.

Interest paid based on invested capital is considered a distribution of profit by the business and not an expense. This is similar to sharing profit to shareholders in a company.

Legitimate expenses include: cost of sales, staff cost, administrative costs, advertising costs, and professional expenses like hiring an accountant.

8 0

3 years ago

Overnight trucking recently purchased a new truck costing $150,800. The firm financed this purchase at 8. 6 percent interest wit

nataly862011 [7]

8.44 years will take the firm to pay off this debt.

Debt is an obligation that forces one party, the debtor, to pay another party, the creditor, money or other agreed-upon value. Debt is a delayed payment or series of payments that differs from an immediate purchase.

Student loans, mortgages, and company loans are examples of "good" debt, which is defined as money due for things that can help develop wealth or boost income over time. "Bad" debt is defined as credit card or other consumer debt that does little to help your financial situation. These are overstatements.

While both words refer to money owed, credit and debt are not synonymous. Debt is money owed, whereas credit is money borrowed.

To know more about debt follow the link:

brainly.com/question/1957305

#SPJ4

7 0

1 year ago

An automobile, having an original value of $18,000 when new, depreciates at a rate of 18% per year. Determine, to the nearest te

inna [77]

Answer:

14.6 years

Explanation:

Applying an early depreciation rate 'r = 18%', the value of an automobile originally valued at $18,000, after 't' years, is given by:

$V(t)=\$18,000*(1-r)^t}$

The number of years required for which V(t) = $1,000 is:

$\$1,000=\$18,000*(1-0.18)^t\\ln(\frac{1,000}{18,000})=t*ln(0.82)\\ t=\frac{ln(0.05555555)}{ln(0.82)} \\t=14.6\ years$

It will take 14.6 years for the value of the automobile to decrease to $1,000.

5 0

3 years ago

Ivanhoe Co. purchases land and constructs a service station and car wash for a total of $465000. At January 2, 2021, when constr

Sveta_85 [38]

Answer:

$80,833.32

Explanation:

Correct date <em>"Jan 2 2019 510000.00 </em>

Computation of Lease related Expense Recognized by lessee in 2019

Depreciation Expense = (Total cost - Salvage value) / Estimated life

Depreciation Expense = $500,000 - $45,000 / 15

Depreciation Expense = $33,033.33

Interest Expense = $47,799.99

Total lease-related expenses = Depreciation Expense + Interest Expense

Total lease-related expenses = $33,033.33 + $47,799.99

Total lease-related expenses = $80,833.32

8 0

3 years ago

The Butler-Perkins Company (BPC) must decide between two mutually exclusive projects. Each costs $6,750 and has an expected life

Sever21 [200]

Answer:

1) Expected annual cash flow for project A= $6750

Expected annual cash flow for project B= $7450

Standard deviation (σ) for A = $158.11

Coefficient of variation for A = 0.0234

Explanation:

For project A

Expected cash flow 1 = 0.2 × $6500 = $1300

Expected cash flow 2 = 0.6 × $6750 = $4050

Expected cash flow 3 = 0.2 × $7000 = $1400

Expected annual cash flow = sum of expected cash flow = $1300 + $4050 + $1400 = $6750

For project B

Expected cash flow 1 = 0.2 × $0 = $0

Expected cash flow 2 = 0.6 × $6750 = $4050

Expected cash flow 3 = 0.2 × $17000 = $3400

Expected annual cash flow = sum of expected cash flow = $0 + $4050 + $3400 = $7450

2) Deviation from mean = cash flow - expected cash flow

Deviation from mean 1 = 6500 - 6750 = 250

Deviation from mean 2 = 6750 - 6750 = 0

Deviation from mean 3 = 7000 - 6750 = -250

Variance (σ²) = Sum of (Deviation from mean² × Probability)

σ² = (250² × 0.2) + (0² × 0.6) + ((-250)² × 0.2) = 12500 + 12500 = 25000

Standard deviation (σ) = √ variance = √25000 = $158.11

Coefficient of variation = Standard deviation / expected annual cash flow = $158.11 / $6750 = 0.0234

3 0

4 years ago