After the civil war, CORPORATION became the major form of business organization because of its ability to raise money through the sale of shares of stock. A corporation is a type of business that is owned by stockholders who share its profits but are not personally responsible for its debts.
Answer:
the required rate of return i r=0.13%
Explanation:
In order to calculate the required rate of interest in the case of a perpetual preferred stock we will use the following formula:
P(p) = D(p) / r
where P(p) is the preferred price of the stock, D(p) is the preferred dividend price and r is the required rate of interest.
This gives us the following values:
30 = 4 / r
r = 4 / 30
r = 0.13%
Answer:
a. 7,900
b. 10,100
Explanation:
As for the provided information,
We know at break even point taxes shall be = 0 as there are no profits and no losses.
a. At break even: =
Fixed Cost = $308,100
Contribution per unit = Selling price - Variable cost = $79 - $40 = $39
Therefore, break even units =
b. In case the company wants a profit of $51,480 after tax @ 40% then,
Earnings before taxes = = $85,800
Therefore, number of units =
= = 10,100
Answer:
the answer is a. because $150000 is already enough and if there are problems with the truck you can fix it with the money the truck makes so pick truck a.
Answer: Costs of items used up this period but paid for next period
Explanation:
Period Expenses for the period are transactions that should be expensed because they were used in the current period.
Therefore if a period cost is not used in the period, it is not considered a period cost even if the company pays for it in the current period which also means that if a period cost for the period is not paid in the current period but in the next one, it is still a period cost for the current period.
From the above therefore, the period cost is the cost of items used up in this period but paid for in the next one.
The land purchased might look like the obvious choice but it is not because Assets are capitalised and not expensed.