Answer:
$31,350
Explanation:
Calculation for Pat's accrual-basis net income
Cash receipts$42,900
Less Cash disbursements(12,800)
Cash basis net income 30,100
Less depreciation expense(1,900)
Add increase in accounts receivable1,200
Add increase in supplies 3,600
Less increase in accrued liabilities(1,650)
Accrual-basis net income$31,350
Labor Specialization and Productivity. Having workers perform specialized labor tasks is one of the factors that can lead to increased productivity. Division of labor can lead to a large increase in efficiency for two key reasons.
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Short answer, downloading a copy would put it on your hard drive.
Explanation:
Required earnings are the minimum amount of earnings to meet the cost of equity capital requirements.
required earnings = book value of equity capital×required rate of return on common capital.(or common capital).
multiplying by market value is not correct to find out the required earnings.(option a is false ).
net income is calculated from required earnings, so there is no need to multiply net income or adjusted net income with required rate of return on common equity capital. Hence, b and c both are wrong.
Hence option d that is the book value of common equity capital at the beginning of the period multiplied by the required rate of return on common equity capital, is correct.
