TRUE, the par value of the common stock must always be equal to its market value on the date the stock is issued
The par value of the common stock must always equal the market price on the date the stock was issued. The issuance of common stock affects both paid-in capital and retained earnings. If the preferred stock has a par value of $50 and the dividend is estimated at 8%, the dividend per share will be $4.
Par value is the value of one share of common stock as set forth in the company's articles of incorporation. It usually has nothing to do with the actual value of the stock. In reality it is often lower. Share certificates issued against the shares purchased show the par value. When approving shares, the company can choose whether to assign a par value.
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Answer:
When revenue has been received but the service has not been rendered, the revenue will not be recognized and will instead be treated as a liability called unearned revenue.
Date Account Title Debit Credit
Oct. 31 Cash $7,720,000
Unearned Ticket revenue $7,720,000
Date Account Title Debit Credit
Nov. 5 Unearned Ticket Revenue $1,930,000
Ticket Revenue $1,930,000
<u>Working </u>
Ticket revenue = 1/4 * 7,720,000
= $1,930,000
Answer:
The correct answer D
Explanation:
When the price of the product is $9,99, then the customer bought 3 books per month. But when the price decreases from $9.99 to $7.99, then the customer bought 4 books per month. Because when the price of the product decreases, the quantity demanded for the product increases for the while and when the prices increases, the quantity demanded decreases, it is not constant.
Therefore, Jason is in correct as the demand for the product has not increases, but only the quantity demanded has increased.
<u>Answer:</u>
<em>a. Make shareholders as wealthy as possible by investing in real assets.</em>
<u>Explanation:</u>
We can imagine the <em>financial manager </em>doing several things on behalf of the firm’s stockholders. For example, the manager might do is make the shareholders as wealthy as possible by<em> investing in real assets</em>.
The shareholders has <em>paper financial leverage</em> and only the value of decomposition of the firm increases, it means that the shareholders have the ability to do the <em>financial leverage.</em>
And the hell used to decompose in the market which it is good to I must be have to the ability to do it in a simple way to think in <em>a simple language.</em>
