Answer:
The correct answer is letter "D": All of the answers are correct regarding a petty cash fund.
Explanation:
Petty cash funds are sums of money that are useful for businesses to take care of small payments. These payments are too low to allow a check to be written for payment. In some businesses, each department maintains its own small cash box for expenses such as office supplies per unit.
For accounting purposes, transactions involving petty cash are documented only when the petty cash was totally spent and a new fund is to be created and recorded with a voucher.
I think it depends on how people think of you and how much money you get paid, but I would say being with others. Just because it said you were working as a team. I would not consider "a want" in this situation.
Answer:
$3150
Explanation:
Given:
Cost of the asset purchased = $87500 (on 1st October. 2022)
Salvage value at the end of its useful life = $24500
Useful life estimated = 5 years
Question asked:
What is the depreciation expense for 2022 if Ivanhoe Company uses the straight-line method of depreciation?
Solution:
<u>As we know:</u>
Depreciation expenses per year = $12600
But we have to find depreciation expenses for 2022 for:-
From 1st October, 2022 to 31st December, 2022 = 3 months.
<em><u>Straight-Line Depreciation Expense for Partial Year = </u></em>
<em><u /></em>
Depreciation Expense for 3 months =
Therefore, the depreciation expense for 2022 if Ivanhoe Company uses the straight-line method of depreciation is $3150.
Answer:
c. $37.50
Explanation:
The computation of the market value of the stock split is shown below:
= Current market value ÷ four ÷ one
= $150 per share ÷ 4 ÷ 1
= $150 per share ÷ 4
= $37.50
Simply we divide the current market value by the four for one stock split ratio so that the correct market value can come. The four for one reflect the ratio criteria which is mentioned in the question
All other information which is given is not relevant. Hence, ignored it
Answer:
The price per share of equity is $37.083
Explanation:
The first capital structure is purely equity based and Guld Shores will sell 300000 shares at price x to raise the needed capital.
The second structure is a mixed or leveraged structure where both debt and equity components are involved. The capital that needds to be raised remains constant.
Gulf has to give up 300000 - 252000 = 48000 shares and raise 1.78 million dollars from debt. We assumed that the amount that Gulf will raise is the ame from both th structures. Then 48000 shares at price x are equal to $1.78 million debt.
So, Price per share of equity is,
1,780,000 = 48000x
1780000 / 48000 = x
x or price per share = $37.083