BUSINESS COLLEGE

During 2019, Ocean Consulting had the following transactions with it clients (customers): On February 1, 2019, the company received cash of $5,500 from clients in payment of their account balances as of December 31, 2018. On November 1, 2019, the company received $2,500 cash as payments in advance for services to be performed in 2020. The company received a total of $15,500 in cash for services that were performed during 2019. The company sent bills totaling $4,500 to clients for services performed during 2019; this amount was unpaid as December 31, 2019.As a result of these transactions during 2019, the firm's stockholders' equity will:__________

Answers

Answer 1
Answer:

Answer:

$20,000

Explanation:

According to the given situation, the computation of stockholder equity is shown below:-

Stockholder equity = Service in cash + Sent bills

= $15,500 + $4,500

= $20,000

Therefore for computing the stockholder equity we simply applied the above formula so that the correct value could come

Hence, the stockholder equity is $20,000

Related Questions

TC, Inc. has $15 million of outstanding bonds with a coupon rate of 10 percent. The yield to maturity on these bonds is 12.5 percent. If the firm's tax rate is 30 percent, what is relevant cost of debt financing to TC, Inc.?A) 13.75 percentB) 8.75 percentC) 7.00 percentD) 3.75 percent
For the statements below select the appropriate terms from the given choices. 1. A revenue not yet recognized; collected in advance. 2. Office supplies on hand that will be used in the next period. 3. Interest revenue collected; not yet recognized. 4. Rent not yet collected; already recognized. 5. An expense incurred; not yet paid or recorded. 6. A revenue recognized; not yet collected or recorded. 7. An expense not yet incurred; paid in advance. 8. Interest expense incurred; not yet paid.
On April 1, a patent with an estimated useful economic life of 12 years was acquired for $1,500,000. In addition, on December 31, it was estimated that goodwill of $6,000,000 was impaired. a. Record the acquisition of patent. b. Journalize the adjusting entry on December 31 for the amortization of the patent rights. c. Journalize the adjusting entry on December 31 for the impaired goodwill.
Jamison Company had sales revenue and operating expenses of $5,000,000 and $4,200,000, respectively, for the year just ended. If invested capital amounted to $6,000,000, the firm's ROI was:_________ A. 13.33%.B. 83.33%.C. 120.00%.D. 750.00%.
What role should government play in a free market economy?

Kirnon Clinic uses client-visits as its measure of activity. During July, the clinic budgeted for 3,650 client-visits, but its actual level of activity was 3,590 client-visits. The clinic has provided the following data concerning the formulas to be used in its budgeting: Fixed element per monthVariable element per client-visit Revenue - $39.90 Personnel expenses$35,900 $11.10 Medical supplies 1,900 7.90 Occupancy expenses 8,900 1.90 Administrative expenses 5,900 0.10 Total expenses$52,600 $21.00 The activity variance for administrative expenses in July would be closest to: Multiple Choice $66 F $6 U $66 U $6 F

Answers

Answer:

$666 Favorable

Explanation:

The computation of Activity variance is shown below:-

For computing the activity variance first we need to compute the Planning budget and flexible budget

Planning budget = $35,900 + $11.10 × 3,650

= $76,415

Flexible budget = $35,900 + $11.10 × 3,590

= $75,749

Activity variable = Activity variance - Flexible budget  

= $76,415 - $75,749

= $666 Favorable

The Macro Islands can produce either 250 bamboo towels or 500 botanical soaps using all its resources. The Micro Islands can produce either 30 bamboo towels or 300 botanical soaps using all its resources. Based on this information, which of the following is true?The Macro Islands have a comparative advantage in producing both goods.
The Micro Islands have a comparative advantage in producing neither good.
The Micro Islands have a comparative advantage in producing bamboo towels.
The Micro Islands have a comparative advantage in producing botanical soaps.
The Micro Islands have a comparative advantage in producing both goods.

Answers

Answer:

The Micro Islands have a comparative advantage in producing botanical soaps.

Explanation:

Comparative advantage can be defined as the ability of an economy to produce a good at lower opportunity cost than other economies. This enables the economy sell the product at lower prices, therefore having higher margin of profit than other economies.

The opportunity cost of Micro Island in producing 300 botanical soaps is the cost of producing 30 bamboo towels. The opportunity cost is quite low.

While for Macro Island the opportunity cost of producing 500 botanical soaps is 250 bamboo towels. The opportunity cost is higher than for Micro Island.

Sommer, Inc., is considering a project that will result in initial aftertax cash savings of $1.75 million at the end of the first year, and these savings will grow at a rate of 2 percent per year indefinitely. The firm has a target debt-equity ratio of .80, a cost of equity of 11.5 percent, and an aftertax cost of debt of 4.3 percent. The cost-saving proposal is somewhat riskier than the usual project the firm undertakes; management uses the subjective approach and applies an adjustment factor of 3 percent to the cost of capital for such risky projects.

Answers

Answer:

The question is: "What is the maximum initial cost the company would be willing to pay for the project?"

The maximum initial investment cost the company would be willing to pay for the project is $18,817,204.

Explanation:

We have D/E = 0.8 => D/ (D+E) = 4/9; E/(D+E) = 5/9.

WACC of the firm = 4/9 x 4.3% + 5/9 x 11.5% = 8.3%.

Adjustment for cost capital due to higher risk of the project: 8.3% + 3% = 11.3%.

=> Maximum initial investment cost is equal to the net present value of the cash saving the project brings about discounting at project's cost of capital, calculated as:

1,750,000/ (11.3% - 2%) = $18,817,204.

Thus, the Maximum initial investment cost is $18,817,204.

A stock is expected to pay a dividend of $0.75 at the end of the year. The required rate of return is rs = 10.5%, and the expected constant growth rate is g = 6.4%. What is the stock's current price? $17.39 $17.84 $18.29 $18.75 $19.22

Answers

Answer:

$18.29

Explanation:

It is very simple as per the question to calculate the current stock price.

The formula for calculating the Stock price is,

P = D/(r-g)

Hence, we calculate as follows,

Price = 0.75/(0.105-0.064)

Price = 0.75/0.041

Price = $18.29

Good Luck.

Sundar is preparing a research paper and has included the map above. His topic has to address negative externalities related to natural resources. Sundar is most likely writing a paper with which of the following titles?

Answers

Answer:

The possible topics for writing a research paper:

  • To write some research paper or perform any work related in order to address the negative externalities related to natural resources, Sundar must have some idea about the air pollution and its causes, as each person who wants to spread the idea about natural phenomenons or process must know about one of the most talk about terms including the environmental pollution and the factors that are causing it.
  • So, we can have our guess and the possible answer on which Sundar can write a research paper which might be, "Humanity spreads: air pollution and deforestation".
The answer to this question would be, Humanity Spreads: Air pollution and Deforestation.

Please note that it is useful to add the options provided with the question, in order to get an accurate answer and have your question answered quicker.

Hope this helps!!

Enterprise zones are: A. government-owned properties that are available for entrepreneurial ventures at a reduced cost.B. similar to incubator facilities but strictly run by city and state governments.C. blighted areas that contain toxic materials making them unsuitable for business operations.D. specific locations across the U.S. where entrepreneurs can set up shop and receive tax breaks for operating in these areas.

Answers

Answer: Option D

Explanation: Enterprise zones are established by the government with the objective of development and economic growth in the local neighborhood.

The investors are attracted to make their business centers or production units in such areas by giving them incentives such as tax exemptions or other such benefits.

These are made usually in under developed areas. In countries like China and India, these areas are called special economic zones.

Other Questions
Boney Corporation processes sugar beets that it purchases from farmers. Sugar beets are processed in batches. A batch of sugar beets costs $53 to buy from farmers and $18 to crush in the company's plant. Two intermediate products, beet fiber and beet juice, emerge from the crushing process. The beet fiber can be sold as is for $25 or processed further for $18 to make the end product industrial fiber that is sold for $39. The beet juice can be sold as is for $32 or processed further for $28 to make the end product refined sugar that is sold for $79.Which of the intermediate products should be processed further?Garrison 16e Rechecks 2017-09-13, 2017-11-11Multiple Choicebeet fiber should be processed into industrial fiber; beet juice should NOT be processed into refined sugarbeet fiber should be processed into industrial fiber; beet juice should be processed into refined sugarbeet fiber should NOT be processed into industrial fiber; beet juice should be processed into refined sugarbeet fiber should NOT be processed into industrial fiber; beet juice should NOT be processed into refined sugar
On December 1, 2018, ABC signed a $300,000, 5%, six-month note payable with the amount borrowed plus accrued interest due six months later on June 1, 2019. ABC records the appropriate adjusting entry for the note on December 31, 2018. What amount of cash will be needed to pay back the note payable plus any accrued interest on June 1, 2019?
Dimitrov Corporation, a company that produces and sells a single product, has provided its contribution format income statement for July.Sales (6,800 units) $401,200Variable expenses 265,200Contribution margin 136,000Fixed expenses 103,500Net operating income $32,500If the company sells 6,700 units, its net operating income should be closest to:a. $31,979b. $32,500c. $28,000d. $30,500
A pollution haven is A. unattractive for multinational investment because of the ambient pollution. B. a location with weak environmental rules that attracts manufacturing companies due to decreased costs. C. a place that has very low worker wages. D. a place where people actually like pollution and view it as a positive externality.