Answer:
1. Prepaid insurance (Dr.) $6,300
Cash (Cr.) $6,300
2. Cash (Dr.) $15,300
Unearned Income (Cr.) $15,300
3. Purchases (Dr.) $1,750
Accounts payable (Cr.) $1,750
Cost of Goods Sold (Dr.) $1,620
Ending Inventory (Dr.) $130
Purchases (Cr.) $1,750
4. Prepaid office rent (Dr.) $6,300
Cash (Cr.) $6,300
Explanation:
The adjusting entry is a journal entry recorded at end of accounting period to adjust events or transactions to comply with the accrual concept.
The closing entries are journal entries required to close a transaction or event in the period. The purpose is to follow matching concept of accounting.
Answer:
a. If dividends are annual and expected to be constant, what is the intrinsic value (fair price) of ABC stock?
P₀ = $0.26 / 12% = $2.16667 = $2.17
b. What is ABC's dividend yield?
$0.26 / $2.17 = 12%
c. From now on, assume that the dividend of 0.26 was a quarterly dividend. What is the quarterly discount rate?
12% / 4 = 3%
d. What is the intrinsic value if dividends are constant and quarterly?
P₀ = $0.26 / 3% = $8.66667 = $8.67
e. We now think that dividends will grow by 0.3% from quarter to quarter. The firm just paid the quarterly dividend of 0.26. What is the intrinsic value of ABC stock?
P₀ = ($0.26 x 1.003) / (3% - 0.3%) = $9.6585 = $9.66
f. A different analyst thinks that ABC's dividends will grow by 5% for the next 4 quarters, and then grow by 0.3% thereafter. What is the intrinsic value?
Div₀ = $0.26
Div₁ = $0.273
Div₂ = $0.287
Div₃ = $0.301
Div₄ = $0.316
Div₅ = $0.317
terminal value in 4 quarters = $0.317 / (3% - 0.3%) = $11.74
P₀ = $0.273/1.03 + $0.287/1.03² + $0.301/1.03³ + $0.316/1.03⁴ + $11.74/1.03⁴ = $0.265 + $0.271 + $0.275 + $0.281 + $10.43 = $11.522
Answer:
$225,000
Explanation:
Federal corporate income tax (21% flat rate)
$1,000,000 x 21% = $210,000
Federal dividend tax (15%).
$100,000 x 15% = $15,000
Dividens are neither expenses nor deductible, so they do not reduce the amount of corporate taxable income. Therefore we must add up the two quantities.
$210,000 + $15,000 = $225,000
Answer: Option C
Explanation: In simple words, multinational market refers to the economic system in which different countries of the world trade with each other by decreasing the barriers and taxes so that booth countries could be benefited from the ongoing business.
Multinational market structures have resulted in drastic expansion ion business activities all around the world as the business firms can not target new markets which were earlier out of reach
Hence from the above we can conclude that the correct option is C.
I believe in this case that ABC motors is the customer
and the car was still being delivered to their office. Therefore the correct
answer to this is:
The title of ABC motors would be “Void”
<span>This is considered right away as Void since there was no
information or any knowledge on the part of ABC motors about the stolen car. </span>