Answer:
Decrease assets and decrease stockholders equity
Explanation:
Shareholders of the Company are rewarded for their contribution through dividends.
<u>Declaration and payment of a cash dividend results in the following journal :</u>
<em>Dividend (debit)</em>
<em>Cash (credit</em>)
Thus,
The Owners Equity Decrease whilst the Assets Account (Cash) Decreases
Answer:
Explanation:
Each of these effects would most likely influence Tommy's order differently. The real-income effect would most likely cause Tommy to buy the large steak and salad regardless of the increase in price since individuals tend to spend more when they start making more money. The substitution effect on the other hand would most likely cause Tommy to order a smaller steak since it costs more but at the same time order, more salad since the price has not increased as the steak did.
Answer:
1) the payment over time ( $2833.39 )
2) the payment over time ( $2759.11 )
Explanation:
We get the lump sum today of $2750 which is exactly the value of this amount today and there is no need to discount this amount. We will compare this amount with the present value of the cash flows we will receive over time. If the present value of over time cash flows is more than lump sum payment, we will choose over time cash flows and vice versa.
1) The present at 6% for over time cash flows is,
- PV = 1000 + 1000/1.06 + 1000/1.06^2 = $2833.392
- As 2833.392 is more than 2750, we will choose payment over time.
2) The present at 9% for over time cash flows is,
- PV = 1000 + 1000/1.09 + 1000/1.09^2 = $2759.11
- As 2759.11 is more than 2750, we will choose payment over time.
<span>The loan that requires a student to pay the interest they accumulated during college is called <u>an unsubsidized loan.</u>
There are also Federal unsubsidized loans. They are charged interest on these loans while the student is in school and also during a grace period. The student who borrows the money can choose to pay the interest every month or choose to have it put on the outstanding principal of the unsubsidized loan. Many colleges will tell the students to make a all to their loan service and set up an interest payment account.</span>
Answer:
The firm will not sell any bundle, the amount of bundle to be sold will be zero.
Explanation
Solution
Since firm sells at $25 each for coats and pants, then If consumer wants to purchase both Pant and Coat, the customer will have to pay 25 + 25 = $50.
Also, If consumer purchase Pant and Coat as a Bundle then, he will pay 150. From the question stated we can conclude that their is a form of interest to pay for Pant and Coat for Both consumers are higher than 25.
However, they will have to pay an amount less for 1 coat and 1 pant if they buy this in a separate way instead of a Bundle.
We can say, that type of consumers (both) will not buy the pants and coat as a bundle, but will want to buy them separately.
Therefore, any bundle will not be sold by firm. the amount of Bundle sold will be known as a zero Bundle