Stock dividends and stock splits should, at least conceptually, have the same effect on shareholders' wealth. True or false?

Business

1 answer:

bulgar [2K]2 years ago

7 0

Answer:

The correct answer is True.

Explanation:

The dividend in shares is a distribution of benefits, through which a corporation distributes to its shareholders shares released from the issuance itself or shares of open stock companies that the company owns.

A division of shares is a corporate action that increases the number of shares in circulation of the company by dividing them, which in turn decreases its price. The market capitalization of the share, however, remains the same, just as the value of the $ 100 bill does not change if it is exchanged for two of $ 50. For example, with a division of shares of 2 by 1, each shareholder receives an additional share for each share held, but the value of each share is reduced by half: two shares now equal the original value of a share before the division .

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Regarding the four-step closing process under the periodic inventory system, ________. A. Sales Revenue is closed with a credit

ziro4ka [17]

Answer:

The correct answer is D. the ending merchandise inventory balance must be recorded as a debit via the Income Summary account

Explanation:

In the permanent inventory system, all purchases, sales, discounts and returns on purchases and sales are recorded at cost, in the account Goods not Manufactured by the Company. Thus: Purchases: the acquisition of merchandise is accounted for with a debit in the Merchandise not Manufactured by the Company account and a credit in Banks or Suppliers, as the case may be.

The initial inventory represents the value of the stock of merchandise on the date the accounting period began. This account is opened when the control of the inventories, in the Major General, is carried out based on the speculative method, and does not return to movement until the end of the accounting period when it will be closed with charge at cost of sales or by Profit and Loss directly. And it is the detailed and detailed relationship of the stock of merchandise that a company has when starting its activities, after making a physical count.

The final inventory is made at the end of the accounting period and corresponds to the physical inventory of the merchandise of the company and its corresponding valuation. By relating this inventory to the initial one, with the net purchases and sales of the period, you will obtain the Gross Profits or Losses in Sales of that period. is the list of stocks at the end of an accounting period.

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2 years ago

The depreciation method that produces larger depreciation expense during the early years of an asset's life and smaller expense

ss7ja [257]

Answer:

Accelerated depreciation method

Explanation:

Accelerated depreciation is a method of depreciation in which the assets lost his purchase price or book value at the speedy rate as compared with the straight-line method.

And it generates a larger amount of expenses during the early period and the smaller amount of expenses in the later year so that it can be decreased the taxable income

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2 years ago

Textbooks, transportation and room and board are all...

Alex777 [14]

Answer:

b. additional costs for attending a college or university.

Explanation:

Textbooks, transportation and room and board are additional costs for attending a college or university.

They aren't included as part of tuition costs.

They are the real costs of attending college.

These costs needs to be considered when choosing a college.

I hope my answer helps you