Prepare adjusting entries for the following transactions. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.)
1. Unrecorded interest accrued on savings bonds is $410.
2. Property taxes incurred but not paid or recorded amount to $800.
3. Unearned service revenue of $4,000 was collected in advance. By year end $700 was still unearned.
4. Prepaid insurance had a $750 debit balance prior to adjustment. By year end, 60 percent was still unexpired.
5. Salaries incurred by year end but not yet paid or recorded amounted to $650.

Answers

Answer 1

Answer:

1. Dr Interest Receivable 410

Cr Interest Revenue 410

2. Dr Property Tax Expense 800

Cr Property Taxes Payable 800

3. Dr Unearned Service Revenue 3,300

Cr Service Revenue 3,300

4. Dr Insurance Expense 300

Cr Prepaid Insurance 300

5. Dr Salaries and Wages Expense 650

Cr Salaries and Wages Payable 650

Explanation:

Preparation of Journal entries

1. Dr Interest Receivable 410

Cr Interest Revenue 410

2. Dr Property Tax Expense 800

Cr Property Taxes Payable 800

3. Dr Unearned Service Revenue 3,300

Cr Service Revenue 3,300

($4,000 – $700)

4. Dr Insurance Expense 300

Cr Prepaid Insurance 300

[$750 x (100%-60%)]

5. Dr Salaries and Wages Expense 650

Cr Salaries and Wages Payable 650


Related Questions

Suppose that real GDP grew more in Country A than in Country B last year.

a. Country A must have a higher standard of living than country B.
b. Country A's worker productivity must have grown faster than country B's.
c. Both of the above are correct.
d. None of the above are correct.

Answers

Answer:

D

Explanation:

Gross domestic product is the total sum of final goods and services produced in an economy within a given period which is usually a year

Nominal GDP is GDP calculated using current year prices while Real GDP is GDP calculated using base year prices. Real GDP has been adjusted for inflation.

The standard of living is calculated as real GDP / population. Even though the real GDP of country A grew faster than country B, country A's population might be higher than country B's making its standard of living lower.

To make a conclusion that the growth of country A's worker productivity grew faster, it must be assumed that population grew at the same rate in both countries

Companies, the military, the government, and nonprofit organizations can operate because they have determined the levels of authority and reporting structure for their organizations. What is the name given to this line of authority

Answers

Answer:

Chain of command.

Explanation:

Chain of command is been used in the description of operation flow pattern in companies, government, universities and in many organisations which aid in a better reporting relationship. This report is said to set records straight and also puts every individual in a category in this chart organization. Also a chain of command is established so that everyone knows whom they should report to and what responsibilities are expected at their level. A chain of command enforces responsibility and accountability.

A perpetuity pays $170 per year and interest rates are 8.2 percent. How much would its value change if interest rates increased to 9.7 percent

Answers

Answer:

$320.59 decrease

Explanation:

The computation of the change in the value is shown below:

As we know that

The Value of perpetuity is

= Annual inflows ÷ interest rate

Current value is

= $170 ÷ 0.082

= $2,073.17

And,

New value is

= $170  ÷ 0.097

= $1,752.58

Now change in value is

= $2,073.17 - $1,752.58

= $320.59 decrease

We simply applied the above formula

Answer the following questions on the basis of the following three sets of data for the country of North Vaudeville: (A) (B) (C) Price Level Real GDP Price Level Real GDP Price Level Real GDP 110 235 110 285 100 210 100 235 100 260 100 235 95 235 95 235 100 260 90 235 90 210 100 285 a. Which set of data illustrates aggregate supply in the immediate short run in North Vaudeville? (Click to select) The short run? (Click to select) The long run? (Click to select) b. Assuming no change in hours of work, if real output per hour of work decreases by 5 percent, what will be the new levels of real GDP in the right column of B?

Answers

Question attached

Answer and Explanation:

1a. We can see immediate short run aggregate supply in North vaudeville in column A. This is because the price is fixed while output increases

1b. We can see short run aggregate supply in North vaudeville in column c. This is because output increases with price increase.

1c we can see long run aggregate supply in North vaudeville in column B. This is because output is constant with price increase.

Assuming output per hour of work decreases by 25% for column C then for each price, output is:

2A. Given price P= 110, output is 285(1-0.25) = 213.75

2B. Given price P = 100, output is 260(1-0.25) = 195

2C. Given price P = 95, output is 235(1-0.25) = 176.25

2D. Given price P = 90, output is 210(1-0.25) = 157.50

3. The new data from question 2 reflects a decrease in aggregate supply.

$50 an hour is a
A salary
B commission
C wage
D pension

Answers

I think C I’m not sure tho

Answer: C.) Wage

Explanation: A salary is a set cost that is due to you over an agreed amount of time. A commission is a percentage that you get from the original cost. A wage is the income one makes daily, or per hour. A pension is the gradual amount of money being added up during the years one works. Therefore, $50 an hour is a wage.

I hope this helped!

Good luck <3

A U.S. business sells milk to consumers in France. Which situation would
most likely cause demand for milk to decline in France?

A. A popular French nutrition author claims that milk is bad for
people's health.
B. French consumers expect the price for milk to increase in the
future.
C. Cheese and other products made from milk become more popular
in France
D. The French population grows steadily due to years of economic
prosperity

Answers

The situation that cause the demand for falling in france should be option A. A popular French nutrition author claims that milk is bad for people's health.

The reason why it cause demand for milk:

The various consumers believes on expert's suggestion to select between products. Marketers know this, and that is why they incorporate doctors and other professionals in advertisements. Should the popular nutrition author provides a negative opinion on milk products, the demand for milk in France will decline.

learn more about demand here: https://brainly.com/question/18282855

Answer:

A

Explanation:

Just took the quiz

Which scenario holds true when a tariff is applied to an imported item? A. both domestic and foreign consumers pay the same price B. domestic consumers of the imported item pay a higher price C. foreign consumers of the imported item pay a higher price D domestic consumers of the imported itern pay a lower price​

Answers

Answer:

i would say b, the domestic pay more.

A project that will last for 10 years is expected to have equal annual cash flows of $103,900. If the required return is 8.4 percent, what maximum initial investment would make the project acceptable? Multiple Choice $638,392.96 $595,833.43 $1,534,047.75 $655,213.49 $684,772.10

Answers

Answer:

PV= $684,772.1

Explanation:

Giving the following information:

A project that will last for 10 years is expected to have equal annual cash flows of $103,900. If the required return is 8.4 percent.

First, we need to calculate the future value of the cash flows:

FV= {A*[(1+i)^n-1]}/i

A= annual cash flow

FV= {103,900*[(1.084^10) - 1]} / 0.084

FV= $1,534,047.75

Now, we can determine the present value:

PV= FV/(1+i)^n

PV= 1,534,047.75 / (1.084^10)

PV= $684,772.1

All against Common Sense. Back in mid 80s, the US economy was very bad. It was much worse than it is now. At that time, to the surprise of many people, US automakers raised the prices of their cars. The common sense says that when the sales are slow, we lower prices and offer better deals to customers. Why do you think that the US car manufacturers increase the prices?

Answers

Answer:

Explanation:

This most likely happened because in the 80's the economy was so bad that even by lowering their prices the middle-class families would still not be able to afford to buy a car. The only individuals able to afford a car would be those who are wealthy. Therefore, by increasing prices and targetting wealthy individuals, the US car manufacturers could become profitable with much fewer sales and prevent the manufacturing plant from going under. Since wealthy individuals would not mind much the increased prices because they can still afford it without making much of a dent in their wealth.

8.Kline and Salomon form the KS Partnership as 50/50 partners. Kline contributes equipment that has a fair market value of $60,000 and an adjusted basis of $45,000. In addition, the equipment is subject to a $10,000 loan that KS Partnership is assuming. What amount represents Kline's initial basis in the partnership

Answers

Answer: $40,000

Explanation:

Kline brings in equipment that is worth $60,000 but has a basis of $45,000.

The equipment however is subject to a loan of $10,000.

This loan will have to be deducted from the basis. The partnership however is assuming the loan and Kline is only 50% liable in the partnership so Kline's basis will only be affected by half of the loan.

Basis = 45,000 - 5,000

= $40,000

None of the following would be an advantage of self-administered surveys:
A) Reduced cost
B) Respondent control
C) Reduced interview evaluation apprehension
A. True
B. False

Answers

Answer:

B. False

Explanation:

A self-administered survey is one where there is the collection of the necessary data for the survey is carried out through a questionnaire of questions to be answered by the interviewee. Questionnaires can be sent via mail, e-mail, personal interception, hand delivery etc.

The advantages of self-administered surveys are cost reduction, since questionnaires can be sent via email at no cost to both, greater control of the interviewee, since the questions can be developed according to the information you want to collect, greater quick feedback, which reduces the apprehension of the interview evaluation.

False, the self-administered surveys would not be advantageous in terms of reduced interview evaluation apprehension. The Option B.

Would self-administered surveys be advantageous?

Self-administered surveys eliminate the need for face-to-face interactions and direct interviewer involvement which can indeed reduce interview evaluation apprehension. When individuals complete surveys on their own, they may feel less pressured and more comfortable expressing their opinions.

But this advantage does not hold true for self-administered surveys as they are completed by the respondents themselves without the presence of an interviewer. Consequently, the absence of an interviewer does not contribute to a reduction in interview evaluation apprehension. Therefore, the Option B is correct.

Read more about surveys

brainly.com/question/14610641

#SPJ6

During 2021, WMC Corporation discovered that its ending inventories reported in its financial statements were misstated by the following material amounts: 2019 understated by $ 124,000 2020 overstated by 154,000 WMC uses a periodic inventory system and the FIFO cost method. Required: 1. Determine the effect of these errors on retained earnings at January 1, 2021, before any adjustments. (Ignore income taxes.) 2. Prepare a journal entry to correct the errors.

Answers

Answer:

WMC Corporation

Misstatement of Ending Inventories:

1. Effect of these errors on Retained Earnings at January 1, 2021:

a) The understated amount by $124,000 in 2019 has self-corrected in 2020 with the Beginning Inventory also understated.  So, it has no effect on the Retained Earnings at January 1, 2021.

b) The overstated ending inventories by $154,000 will overstate the Retained Earnings at January 1, 2021 by the same amount.  Since it has not self-corrected like (a), the correction will be to reduce the Retained Earnings and reduce the Beginning Inventories by $154,000.

2. Journal Entry:

Debit Retained Earnings $154,000

Credit Beginning Inventories $154,000

To reverse the overstated inventories.

Explanation:

a) Data:

2019 understated by $ 124,000

2020 overstated by 154,000

Inventory system = periodic

Inventory method = FIFO

Park competes with World by providing a variety of rides. sells tickets at $110 per person as a​ one-day entrance fee. Variable costs are $44 per​ person, and fixed costs $412,500 are per month. Under these​ conditions, the breakeven point in tickets is 6,250 and the breakeven point in sales dollars is ​$687,500.
Requirement
1. Suppose Park cuts its ticket price from to to increase the number of tickets sold. Compute the new breakeven point in tickets and in sales dollars. 2. Begin by selecting the formula labels and then entering the amounts to compute the number of tickets must sell to break even under this scenario

Answers

Answer:

Instructions are below.

Explanation:

Giving the following information:

Variable costs are $44 per​ person

Fixed costs $412,500

Let's suppose that the new selling price is $100.

To calculate the break-even point in units and dollars, we need to use the following formulas:

Break-even point in units= fixed costs/ contribution margin per unit

Break-even point in units= 412,500 / (100 - 44)

Break-even point in units= 7,366 units

Break-even point (dollars)= fixed costs/ contribution margin ratio

Break-even point (dollars)= 412,500 / (56/100)

Break-even point (dollars)= $736,607

Jen Rogers withdrew a total of $15,000 from her business during the current year. The entry needed to close the withdrawals account is:_________
A. Debit Income Summary and credit Cash for $31,000.
B. Debit Jen Rogers, Withdrawals and credit Cash for $31,000 Debit Income Summary and credit Jen Rogers, Withdrawals for $31,000.
C. Debit Jen Rogers, Capital and credit Jen Rogers, Withdrawals for $31,000.
D. Debit Jen Rogers, Withdrawals and credit Jen Rogers, Capital for $31,000.

Answers

Answer: C. Debit Jen Rogers, Capital and credit Jen Rogers, Withdrawals for $15,000

Explanation:

The options do not match the question. Correct answer is posted.

When closing the Withdrawal account at the end of the period, the withdrawals need to be accounted for from the capital invested by the investor because the withdrawals would reduce the capital balance.

To do this the Capital account should be debited to signify that it is reducing. The opposing entry therefore will be to credit the Withdrawals account.

Rust Pipe Co. was established in 1994. Four years later the company went public. At that time, Robert Rust, the original owner, decided to establish two classes of stock. The first represents Class A founders' stock and is entitled to twelve votes per share. The normally traded common stock, designated as Class B, is entitled to one vote per share. In late 2010, Mr. Stone, an investor, was considering purchasing shares in Rust Pipe Co. While he knew the existence of founders’ shares were not often present in other companies, he decided to buy the shares anyway because of a new technology Rust Pipe had developed to improve the flow of liquids through pipes. Of the 1,900,000 total shares currently outstanding, the original founder's family owns 52,725 shares. What is the percentage of the founder's family votes to Class B votes? (Do not round intermediate calculations. Input your answer as a percent rounded to 2 decimal places.)

Answers

Answer:

34.25%

Explanation:

Votes per share = 12

Shares owned = 52725

Now we are to calculate the total value of the total number of of votes

Total votes = votes per share * shares owned

= 12*52725

Total = 632700

Value of votes of class B

Total shares outstanding - founders family shares

= 1900000 - 52725

= 1847275

The question requires us to calculate percentage of the founder's family votes to Class B votes

632700/1847275

= 0.3425

= 34.25%

what is acknowledgement​

Answers

Answer: it means to accept something or recognition

Roose, Inc. reported revenue of $92 million and incurred total expenses of $84 million. The total expenses included cost of goods sold of $50 million, salaries and other administrative expenses of $9 million, $11 million of interest paid on a building's mortgage, and $14 million of depreciation. Assuming Roose is subject to the interest expense limitation, what amount of interest expense can the business deduct in the current year

Answers

Answer:

Roose, Inc.

The business can deduct $9.5 million in the current year.

Explanation:

Revenue = $92 million

Expenses allowed = 73 million ( $84 - $11 million for interest expense)

Adjusted taxable income before interest = $19 million

50% of adjusted taxable income = $9.5 million

Disallowed interest expense in the current year = $1.5 million

The interest expense allowed (deductible) is 50% for 2019 and 2020, as amended by the CARES Act) of the taxpayer's adjusted taxable income.

1. When will countries trade? Assuming 2 goods, food and clothing, and that both countries’ preferences are homothetic (but not necessarily identical), determine whether two countries will trade in each of the following situations: (a) Countries have identical preferences and identical endowments. (b) Countries have identical preferences, their endowments differ, and their endowments are not in the same ratio of food to clothing. (c) Countries have identical preferences, their endowments differ, but the ratio of food to clothing is the same in both countries. (d) Countries have identical endowments but different preferences. (e) Countries have both different preferences and different endowments.

Answers

Answer:

(a) Countries have identical preferences and identical endowments.

Explanation:

Analyzing the statement, there is information that the preferences of countries are homothetic (but not necessarily identical) with respect to the 2 goods, food and clothing.

That is why it is correct to state that countries will not trade with each other, as countries have identical preferences and identical allocations, which means that the demands for these goods will be related to the prices of the goods and not in relation to income or preferences.

Therefore, there is no need to commercialize these two goods between these countries, except in situations of scarcity.

is the price of a movie ticket likely to go up or down why?

Answers

Answer:

Down

Explanation:

Because they want more people to watch

Suppose there are 100 million in the labor force, and 6 million unemployed people. During the next month, 200,000 people lose their jobs and 300,000 find jobs. The new total of employed persons is ________ and the new unemployment rate is ________.

Answers

Answer:

Results are below.

Explanation:

First, we need to calculate the currently employed people and the unemployment rate:

Employed people= 100,000,000 - 6,000,000= 94,000,000

Unemployment rate= unemployed people / labor force

Unemployment rate= 6,000,000 / 100,000,000

Unemployment rate= 0.06= 6%

Now, the newly employed people and the unemployment rate:

Employed people= 94,000,000 + 300,000 - 200,000

Employed people= 94,100,000

Unemployment rate= 5,900,000 / 100,000,000

Unemployment rate= 0.059 = 5.9%

Lawn Master Company, a manufacturer of riding lawn mowers, has a projected income for the coming year as follows: Sales $ 44,000,000 Operating expenses: Variable expenses $ 28,600,000 Fixed expenses 7,700,000 Total expenses 36,300,000 Operating profit $ 7,700,000 Required: 1. Determine the breakeven point in sales dollars. 2. Determine the required sales in dollars to earn a before-tax profit of $9,152,500. (Do not round intermediate calculations. Round your answer to the nearest whole dollar amount.) 3. What is the breakeven point in sales dollars if the variable expenses increases by 9%

Answers

Answer:

Please see attached

Explanation:

• Break even point in sales dollars $22,000,000

• Required sales in dollars $48,150,000

• Break even point in sales dollars $34,010,600

See as attached, detailed solution to the questions above.

Answer:

Results are below.

Explanation:

Giving the following information:

Sales $44,000,000

Variable expenses $ 28,600,000

Fixed expenses 7,700,000

To calculate the break-even point in dollars, we need to use the following formula:

Break-even point (dollars)= fixed costs/ contribution margin ratio

Break-even point (dollars)= 7,700,000 / [(44,000,000 - 28,600,000)/44,000,000]

Break-even point (dollars)= $22,000,000

Now, we incorporate the desired profit of $9,152,500

Break-even point (dollars)= (fixed costs + desired profit) / contribution margin ratio

Break-even point (dollars)= (7,700,000 + 9,152,500) /0.35

Break-even point (dollars)= $48,150,000

Finally, the new break-even point in dollars:

Total variable cost= 28,600,000*1.09= 31,174,000

Break-even point (dollars)= 7,700,000 / [(44,000,000 - 31,174,000) / 44,000,000]

Break-even point (dollars)= 7,700,000 / 0.2915

Break-even point (dollars)=  $26,415,094.34

Carolyn is looking over opinions based primarily on research studies. She has found that there are 31 of them in total. What organization is Carolyn researching?

Answers

Answer:

d. APB

Explanation:

Carolyn is looking over published accounting opinions based primarily on research studies. What organization is Carolyn researching?

These are the options for the question

a. CAP

b. AICPA

c. SEC

d. APB

We are informed Carolyn who is looking over published accounting opinions based primarily on research studies. The organization Carolyn researching is Accounting Principle Board.

APB( Accounting Principle Board) belongs to a body of American institute of Certified public accountant in US.

it was been run and organised by American Institute of Public Accountants. APB can be regarded as organization which is a forerunner of

Financial Accounting Standards Board. This APB usually offer discounts on professional training with them as well insurance on journal subscription to their member. They are good in offering research on Accounting and finance.

eorge and Weezy received $30,200 of Social Security benefits this year ($12,000 for George; $18,200 for Weezy). They also received $5,000 of interest from jointly owned City of Ranburne Bonds and dividend income. What amount of the Social Security benefits must George and Weezy include in their gross income under the following independent situations

Answers

Answer:

$0

Explanation:

George and Weezy will not get any amount as social security benefit if they file married joint. The sum of their modified AGI plus the 50% of their social security benefit is [$5,000 + $8,000 + $15,100]. This equals to $28,100 which is below the minimum amount of social security.

At what percentage of credit card usage, does it start affecting your score in a negative way?​

Answers

Answer:

3%

Explanation:

ratio of 80 or 90 percent or more highly negative impact on your credit score.

A company forecasts growth of 6 percent for the next five years and 3 percent thereafter. Given last year's free cash flow was $100, what is its horizon value (PV looking forward from year 4) if the company cost of capital is 8 percent?

a. $0
b. $1,672
c. $2,000
d. $2,676

Answers

Answer:

d. $2,676

Explanation:

The computation of the horizontal value is shown below:

FCF1 = (100 × 1.06) = 106

FCF2  = (106 × 1.06) = 112.36

FCF3 = (112.36 × 1.06) = 119.1016

FCF4  = (119.1016 × 1.06) = 126.247696

FCF5  = (126.247696 × 1.06) = 133.8225578

Now

Horizon value is

= FCF5 ÷ (Cost of capital  - Growth rate)

= 133.8225578 ÷ (0.08  - 0.03)

= $2,676

Hence, the correct option is d.

The horizon value will be "$2,676".

According to the question,

The computation of the horizontal value will be:

→ [tex]FCF_1 = 100\times 1.06[/tex]

             [tex]= 106[/tex]

→ [tex]FCF_2 = 106\times 1.06[/tex]

             [tex]= 112.36[/tex]

→ [tex]FCF_3 = 112.36\times 1.06[/tex]

             [tex]= 119.1016[/tex]

→ [tex]FCF_4 = 119.1016\times 1.06[/tex]

             [tex]= 126.25[/tex]

→ [tex]FCF_5 = 126.25\times 1.06[/tex]

             [tex]= 133.8226[/tex]

hence,

The horizon value will be:

= [tex]\frac{FCF_5}{Cost \ of \ capital - Growth \ rate}[/tex]

By putting the values, we get

= [tex]\frac{133.8226}{0.08-0.03}[/tex]

= [tex]2,676[/tex] ($)

Thus the above approach i.e., "option d" is right.

Learn more about cost here:

https://brainly.com/question/15576484

a. Why do some price controls help create black markets?
b. What is a black market you have personally seen?

Answers

Answer:

Price ceiling creates black markets

Price ceiling is when the government or an agency of the government sets the maximum price of a good or service. Price ceiling is binding if it is set below equilibrium price.

When a binding price floor is established, producers would earn less profits and as a result they would stop selling their products in the free markets. This would lead to scarcity and a result a black market can emerge. Goods would be sold at a higher price in the black markets than it would in the free markets.

So, black markets can arise as a result of price ceiling and the need of producers to earn higher profits

b. During the war, when there was a rationing of meat. Farmers declared less animal births to authorities and sold the undeclared livestock in the black market.

Also, in less developed countries e.g. Nigeria, when there is scarcity of fuel. Black markets arise where fuel are sold for higher prices

Explanation:

true or false. a factor that can come between the purchase intention and purchase decision is the attitude of others g

Answers

Answer:

True

Explanation:

Before a consumer makes a decision to buy a product, several factors can affect him. Two distinct factors are the attitude of others and unexpected situational factors. When the customer notices that a lot of people around him have a negative disposition or opinion about a product, they are likely to be discouraged from buying that product.

This is even more likely to happen if the consumer lacks enough motivation to buy that product. So the attitude of others can affect the buyer's intention which is his motivation and the final decision to purchase that product.

A lot of factors can come between purchase intensions. A factor that can come between the purchase intention and purchase decision is the attitude of others is a true statement.

The more positive a person's attitude toward the a product, the greater their purchase intentions.

Another factor consider is perceived playfulness that also affects purchase intention positively.

The factors that affect a consumer's purchase intention can be said to be product perception, shopping experience, customer service etc.

Learn more from

https://brainly.com/question/13303791

he Production Department of Hruska Corporation has submitted the following forecast of units to be produced by quarter for the upcoming fiscal year: 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Units to be produced 11,900 10,900 12,900 13,900 Each unit requires 0.20 direct labor-hours and direct laborers are paid $15.00 per hour. In addition, the variable manufacturing overhead rate is $1.50 per direct labor-hour. The fixed manufacturing overhead is $99,000 per quarter. The only noncash element of manufacturing overhead is depreciation, which is $39,000 per quarter. Required: 1. Calculate the company’s total estimated direct labor cost for each quarter of the the upcoming fiscal year and for the year as a whole. 2&3. Calculate the company’s total estimated manufacturing overhead cost and the cash disbursements for manufacturing overhead for each quarter of the upcoming fiscal year and for the year as a whole.

Answers

Answer:

1. Total estimated direct labor cost = $148,800

2. Total estimated manufacturing overhead cost = $410,880

3. Total Cash disbursement for the fiscal year = $254,880

Explanation:

Please see attached detailed explanation of the above questions and answers.

Holiday Laboratories purchased a high-speed industrial centrifuge at a cost of $470,000. Shipping costs totaled $14,100. Foundation work to house the centrifuge cost $7,700. An additional water line had to be run to the equipment at a cost of $2,600. Labor and testing costs totaled $7,000. Materials used up in testing cost $3,700. (Leave no cells blank. Enter 0 where needed.) a. What is the total cost of the equipment

Answers

Answer:Total Cost of equipment=$502,500

Explanation:

Total Cost of equipment= This is gotten by addition of Cost of Purchase +Shipping costs  +Foundation work+ Testing expense

=$470,000+$14,100+$7,700+($7,000+$3,700.)

=$502,500

A share of Lash Inc.'s common stock just paid a dividend of $2.10. If the expected long-run growth rate for this stock is 5%, and if investors' required rate of return is 18.5%, what is the stock price

Answers

Answer:

P0 = $16.333333333 rounded off to $16.33

Explanation:

Using the constant growth model of dividend discount model, we can calculate the price of the stock today. The DDM values a stock based on the present value of the expected future dividends from the stock. The formula for price today under this model is,

P0 = D0 * (1+g) / (r - g)

Where,

D0 * (1+g) is dividend expected for the next period g is the growth rate r is the required rate of return  

P0 = 2.1 * (1+0.05)  /  (0.185 - 0.05)

P0 = $16.333333333 rounded off to $16.33

Other Questions
The florist makes the greatest number of identical arrangements with the carnations and asters. She has 72 carnations and 42 asters. How can she decide how many carnations to place in each arrangement?A. Subtract the number of asters from the number of carnations.B. Divide the number of carnations by the GCF of 72 and 42.C. Find the least common multiple of 72 and 42.D. Find the greatest common factor of 72 and 42. There are 90 people in a group.A sixth of the people in the group are men.The number of women in the group is 2 times the number of men in the groupThe rest of the people in the group are children.the number of children in the group : the number of men in the group = n: 1Work out the value of n.You must show how you get your answer. Somebody please help Why were the Middle Colonies nicknamed "the breadbasket? What war gave the U.S. the southwestern area?Civil WarAmerican RevolutionMexican WarWar of 1812 If a recipe for one batch of cookies uses 5 cups of flour and 2 teaspoons of vanilla, how many teaspoons of vanilla would you use for 20 cups of flour? (Hint: Draw a double number line on a piece of paper to help identify an equivalent ratio.)Group of answer choices10468MATH 6TH GRADE The temperature at 6 a.m. was 12F. At 11 a.m. the temperature was 0F. Which of the following shows the temperature change from 6 a.m. to 11 am? Complete the following statements in a logical manner,using an expression with -avoir-Plssss help!!! Jefferson believed that freedom of religion and an individuals human rights are _____. Select all that apply. which of the Following angle pairs are considered Vertical angles A toy store is having a sale. A video game system has an original price of $99. It is on sale for 40% off the original price. Find the sale price of the game system. Round to the nearest cent. what type of art would have been shocking years before the renaissanceb If 25.98 mL of 0.1180 M KOH reacts with 52.50 mL of CH3COOH solution, what is the molarity of the acid solution? CivilizatiorWhich of the following was a reason many in Southeast Asia converted to Islam?A) converts were offered social advantagesB) governments threatened military action against those who did not. C) citizens were banned from all political activity if they did not convert.D) converts were offered forgiveness of all debts. HELP!!!!!!!!!!!!!!!!!! Which choice has prokaryotic cells?Lactobacillusbeet rootrose thornhuman kidneyPLEASE HELP! somebody help please, and give the steps so I can learn how to solve it myself According to lesson and lesson 8 Do sequencing matter true or false Solid diarsenic trioxide reacts with fluorine gas (F2) to produce liquid arsenic pentafluoride and oxygen gas (O2). Write the Qc for this reaction. Please choose the best description, or definition of Faunal Succession.principle stating that specific groups of organisms lived and died within a specifictime frame due to the ice ageprinciple stating that specific groups of fawns lived in a specific region and arefound in the rocks shoing fawns onl live in specific areas.principle stating that specific layers of the earth have contain fauna of differenttypes showing biodiversity.rinciple stating that specific groups of organisms have followed, or succeeded.one another in a definite sequence through Earth history