Answer and Explanation:
Please find attached answer and explanation
What forces in the external environment have created opportunities or challenges for Michelle Phan? Explain.
Answer :
1. Social Media Platforms:
2. Beauty Industry Trends:
3. Economic Conditions:
4. Competition:
Identify the inventory costing method best described by each of the following separate statements. Assume a period of increasing costs. results in
a. Results in the highest cost of goods sold.
b. Yields the highest net income.
c. Has the lowest tax expense because of reporting the lowest net income.
d. Better matches current costs with revenues,
e. Precisely matches the costs of items with the revenues they generate.
Answer:
LIFO is a form of inventory costing that assumes that more recent stock is sold first and early stock sold last. FIFO is the opposite of this and believes earlier stock is sold first and later stock is sold last.
Weighted average uses a weighted price for all available stock and specific identification uses the exact cost of the inventory.
a. Results in the highest cost of goods sold. ⇒ LIFO
This is LIFO because the closing stock that is subtracted from the cost of goods sold will be earlier stock and as costs are rising, it will be lower than the purchases.
b. Yields the highest net income. ⇒ FIFO
Because FIFO gives a lower Cost of goods sold as opposed to LIFO, it gives a higher income.
c. Has the lowest tax expense because of reporting the lowest net income.⇒ LIFO
Reports lowest income due to high cost of goods sold.
d. Better matches current costs with revenues. ⇒ LIFO
LIFO uses the current inventory which would reflect the current cost of inventory so it matches current costs with revenue.
e. Precisely matches the costs of items with the revenues they generate. ⇒ Specific Identification.
Uses the exact cost of the inventory so precisely matches costs.
upply and demand
Question 8 of 10
Which situation would cause the price of a product to fall the most?
A. Both the demand and the supply fall.
B. Both the demand and supply rise.
C. The demand falls while the supply rises.
D. The demand rises while the supply falls.
The demand falls while the supply rises.
What are the means of calling for and delivery?The wide variety of goods and services which can be available for people to shop for in comparison to the variety of products and offerings that humans need to shop for If less of a product than the public wishes is produced, the law of delivery and demand says that extra may be charged for the product.
what is the relationship between demand and supply?it's an essential monetary principle that when supply exceeds demand for a very good or service, charges fall. whilst demand exceeds supply, fees tend to upward thrust. there is an inverse relationship between the delivery and prices of products and offerings while the call for is unchanged.
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1a. Tell me why OJ Simpson was found not guilty of murder in acriminal trial, and why he was found liable in a wrongful deathaction for the deaths of his ex-wife and the pizza delivery guy. Wewill
OJ Simpson was found not guilty of murder in his criminal trial primarily due to reasonable doubt. In contrast, Simpson was found liable in a wrongful death action for the deaths of his ex-wife and the pizza delivery guy because the burden of proof in civil cases is lower.
OJ Simpson was found not guilty of murder in a criminal trial because the prosecution failed to prove beyond a reasonable doubt that he was responsible for the deaths of his ex-wife and the pizza delivery guy. Despite a large amount of evidence against him, including DNA and physical evidence, the defense was able to create doubt in the minds of the jurors by arguing that the evidence had been mishandled and tampered with. Additionally, the defense was able to cast doubt on the credibility of some of the prosecution's witnesses.
In a separate civil wrongful death action, Simpson was found liable for the deaths of his ex-wife and the pizza delivery guy. This is because the burden of proof in a civil case is lower than in a criminal case, requiring only a preponderance of the evidence rather than proof beyond a reasonable doubt. This means that the plaintiff only needed to show that it was more likely than not that Simpson caused the deaths.
Additionally, evidence that was not admissible in the criminal trial was allowed in the civil trial, including statements made by Simpson in a taped interview and evidence related to his history of domestic violence. This lower standard of proof and the admission of additional evidence allowed the plaintiffs to establish Simpson's liability in the wrongful deaths. Hence, in this case, the jury found that there was enough evidence to hold Simpson financially responsible for the deaths, resulting in a multi-million dollar judgment against him.
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In each of the three questions, insert the letter from the following list of multiple-choice answers that represents the proper time to accomplish the indicated task. a. during the bid phase b. after Agreement, but before the Notice to Proceed c. prior to advertising for bids d. after bid opening, but before Award of Contract e. after Notice to Proceedf. after award, but before owner signs the Agreement 1.When should a pre-bid conference be held?2.When should the bidder submit the payment bond, the performance bond, and the certificate of insurance? 3. When should a preconstruction conference be held?
1. When should a pre-bid conference be held?
Option a. during the bid phase
2. When should the bidder submit the payment bond, the performance bond, and the certificate of insurance?
Option d. after bid opening, but before Award of Contract
3. When should a preconstruction conference be held?
Option e. after Notice to Proceed
A deal (ordinarily serious) to set a cost for a decent or administration or a solicitation that something is finished, is alluded to as a bid. A thing's worth or cost is laid out by offering. An individual might offer while affected by a decent or administration, contingent upon the circumstance. With regards to a closeout, stock trade, or land exchange, a bid is a value that a business or individual will put out. To participate in corporate or legislative obtainment cycles, business and regulation understudies effectively bid through a course offering strategy utilizing pre-designated offering focuses or more-offering cash on approach offering stages for well-known elective courses with a most extreme seat limit.
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Local government officials would like to know if city residents are generally satisfied with the cleanliness of local
streets and recreation areas. To estimate the level of satisfaction, city officials appear on a local television morning
show, where residents are invited to share their satisfaction through an online poll. Which of the following
statements best describes the potential results from this poll?
Answer:
D. This is a voluntary response sample and is likely to underestimate the proportion of residents satisfied with the cleanliness of the area.
Explanation:
i took the quiz
This is a voluntary response sample and is likely to underestimate the proportion of residents satisfied with the cleanliness of the area.
What is survey ?A survey is a set of questions used in human subject research with the goal of gathering specific information from a certain population. Surveys can be carried out via the phone, by mail, online, at street corners, and even in shopping centers. Surveys are used to collect data or learn more in areas like demography and social research.
Survey research is frequently used to evaluate ideas, beliefs, and emotions. Surveys might have narrow, focused objectives or they can have broad, more general objectives. In addition to being utilized to satisfy the more practical requirements of the media, such as evaluating political candidates, public health officials, professional organizations, and advertising and marketing directors, surveys are frequently employed by psychologists and sociologists to evaluate behavior.
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The Montgomerys borrowed $107,000 at 7.50% for 30 years to purchase a house. Find the total interest the Montomerys will pay if they pay the loan on schedule. Click the icon to view the monthly payment of principal and interest table. OA. $162,254.80 OB. $149, 158.00 OC. $177,662.80 OD. $168,803.20
The total interest the Montgomerys will pay if they pay the loan on schedule is approximately $163,072.
To find the total interest the Montgomerys will pay over the course of the loan, we can calculate the monthly payment and then subtract the principal borrowed.
First, we need to calculate the monthly payment using the loan amount, interest rate, and loan term. We can use the formula for calculating the monthly payment on an amortizing loan:
Monthly payment =\(P * r * (1 + r)^n / ((1 + r)^n - 1)\)
Where:
P = Principal amount borrowed = $107,000
r = Monthly interest rate = Annual interest rate / 12 = 7.50% / 12 = 0.625%
n = Total number of payments = 30 years * 12 months/year = 360 months
Plugging in the values, we have:
Monthly payment = $107,000 * 0.00625 * (1 + 0.00625)^360 / ((1 + 0.00625)^360 - 1)
≈ $750.20
The monthly payment of principal and interest is approximately $750.20.
To find the total interest paid, we can multiply the monthly payment by the total number of payments and subtract the principal borrowed:
Total interest paid = (Monthly payment * Total number of payments) - Principal borrowed
= ($750.20 * 360) - $107,000
≈ $270,072 - $107,000
≈ $163,072
Therefore, the total interest the Montgomerys will pay if they pay the loan on schedule is approximately $163,072.
None of the provided answer options match the calculated value. However, based on the calculation, the closest option is OA. $162,254.80.
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Roy Micky wants to open a new nakamal (kava bar) in port villa. He knows he is entering a highly competitive market but is determined to give it a ago as it is something his family have always wanted.
There are 96 other Nakamals in port vila that Roy will have to compete with. In addition to this, he does not have an established presence in the market. There are just 2 of his concerns. The others are required to come from you.
1) List and justify (from an operations perspective) 5 key things that he should consider in setting up his business. In answering this question, this of the different chapters that have ccomprised this course - you should get a point from each chapter. 20 marks
NB : This question is asking for 5 points of concern - each carries 4 marks.
Answer:
a) The financial return on investment
b) Demand curve, Is the demand of nakamal is rising or is constant
c) Develop a strategy to create a customer base
d) Devise marketing strategy
e) Value addition in his product and service in order to stand out of others.
Explanation:
a) The financial return on investment
b) Demand curve, Is the demand of nakamal is rising or is constant
c) Develop a strategy to create a customer base
d) Devise marketing strategy
e) Value addition in his product and service in order to stand out of others.
Prepare the journal entries to record the following transactions of Wildhorse Company's books under a perpetual inventory system. Clarify which are debit and which are credit.
(a) On March 2nd, Windsor Company sold $854,200 of merchandise to Wildhorse Company on account, terms 2/10, n/30. The cost of merchandise sold was $517800.
(b) On March 6th, Wildhorse Company returned $109800 of the merchandise purchased on March 2nd. The cost of the merchandise returned was $66800.
(c) On March 12th, Windsor Company received the balance due from Wildhorse Company.
a) Credit Inventory for $517,800
b) Debit Inventory for $66,800
c) Credit Accounts Receivable (or Trade Receivables) for the same amount
(a) The journal entry to record the sale of merchandise from Windsor Company to Wildhorse Company on March 2nd would be:
Debit Accounts Receivable (or Trade Receivables) for $854,200
Credit Sales Revenue for $854,200
Debit Cost of Goods Sold for $517,800
Credit Inventory for $517,800
The debit to Accounts Receivable represents the amount owed by Wildhorse Company for the merchandise purchased on account. The credit to Sales Revenue recognizes the revenue generated from the sale. The debit to Cost of Goods Sold recognizes the cost of the merchandise sold, and the credit to Inventory reduces the inventory balance as the goods are no longer in stock.
(b) The journal entry to record the return of merchandise by Wildhorse Company on March 6th would be:
Debit Sales Returns and Allowances for $109,800
Credit Accounts Receivable (or Trade Receivables) for $109,800
Debit Inventory for $66,800
Credit Cost of Goods Sold for $66,800
The debit to Sales Returns and Allowances reduces the revenue from the original sale. The credit to Accounts Receivable reduces the amount owed by Wildhorse Company for the returned merchandise. The debit to Inventory increases the inventory balance as the goods are returned to stock, and the credit to Cost of Goods Sold reduces the cost of the merchandise originally sold.
(c) The journal entry to record the payment received by Windsor Company on March 12th would be:
Debit Cash (or Bank) for the amount received from Wildhorse Company
Credit Accounts Receivable (or Trade Receivables) for the same amount
The debit to Cash represents the inflow of funds from the customer's payment. The credit to Accounts Receivable reduces the amount owed by Wildhorse Company, reflecting the settlement of the outstanding balance.
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The issue of the enforceability of covenants not to compete is typically a matter of state common law (so enforceability varies state-by-state based on case-by-case court decisions). In general, for a covenant not to compete to be enforceable, the restraints (time restrictions, territory restrictions, scope of activity restrictions) must protect a legitimate business purpose, must not impose an undue burden on the employee, and must be otherwise reasonable.
Required:
Do you believe that the restraints in this covenant not to compete ("Restrictive Covenant") should be enforceable? Why or why not? Explain
Answer:
The issue of the enforceability of covenants not to compete is typically a matter of state common law (so enforceability varies state-by-state based on case-by-case court decisions). In general, for a covenant not to compete to be enforceable, the restraints (time restrictions, territory restrictions, scope of activity restrictions) must ...
Do you believe that the restraints in this covenant not to compete ("Restrictive Covenant") should be enforceable? Why or why not? Explain
Explanation:
which of the following is an example of revolving credit?
A. A couple obtains a home mortgage
B. A woman borrows a company car
C. A man uses a personal line of credit
D. A teen gets a loan for college
An example of revolving credit is a man uses a personal line of credit.
What is revolving credit?Revolving credit is the type of credit that lets the borrower choose how much of the credit to use and when to pay it.
It is a type of credit that does not have a fixed number of payments, in contrast to installment credit.
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Answer:
c) A man uses a personal line of credit
Explanation:
also my mom's an accountant and has a degree for fiance
¿Name three types of Insurance.?
Three types of insurance are health insurance, life insurance, and auto insurance.
Insurance is a contract between the insurance provider and the policyholder in which the provider agrees to pay the policyholder a specific amount of money in exchange for the premium paid by the policyholder. Insurance is one of the most critical financial investments a person can make. It's crucial to consider the numerous sorts of insurance available to determine the best fit for your requirements.
Health Insurance: It is an agreement between the insurer and the policyholder that covers the medical expenses of the policyholder. Health insurance covers medical expenses such as hospitalization costs, lab tests, doctor visits, and prescription medications. Health insurance can be purchased by an individual or through an employer-sponsored plan.
Life Insurance: It is an insurance policy that pays out a death benefit to the policyholder's beneficiaries upon the policyholder's death. Life insurance can be permanent or term. Permanent life insurance is lifelong coverage, while term life insurance provides coverage for a set period.
Auto Insurance: It is a contract between the insurer and the policyholder that covers any damage caused to the policyholder's vehicle, as well as any other party's vehicle involved in the accident. Auto insurance policies also cover medical expenses and lost wages that result from a car accident. Auto insurance is mandatory in many states, and premiums are typically determined by the policyholder's age, driving history, and vehicle type.
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What can a government do to best redistribute wealth?
A. Put tariffs and duties in place to collect revenue.
B. Offer government-owned lands for sale to the public.
C. Encourage the creation of small businesses by means of grants.
D. Adopt of a progressive tax system.
What is E-Procurement? [2 Marks] 1b. What are the Benefits of E-Procurement? [8 Marks] 2. You have have been appointed as an ICT personnel in an organisation mit
E-procurement is the exchange of goods and services between businesses, consumers, and the government over the Internet and other information and networking platforms including enterprise resource planning and electronic data interchange.
benefits of the electronic procurement procedure.
E-procurement helps you save money by avoiding duplicative purchases, taking advantage of volume discounts, and avoiding expenses related to paper-based systems (for example, the cost of stamps to mail your paperwork).Openness in spending By performing your procurement electronically, you can guarantee that your procurement methods follow your policies because it will be simpler to produce and analyze reports on your procurement systems.Greater Productivity E-procurement takes less time than conventional procurement once you've gotten the hang of the technology. Reusable tender submission is made simpler by having your records maintained online. Meanwhile, using templates allows for quicker completion of papers.To know more about E-procurement refer to: https://brainly.com/question/17214482
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When the economy is in a decline this is referred to as a
Answer:
RecessionExplanation:
According to economists ;
A recession is a macroeconomic term that refers to a significant decline in general economic activity in a designated region.
Advantages
OF quantitative approach of
Management
Answer:
Quantitative approach of Management refers to a managerial technique that relied on rigid calculations (such as statistics or computer simulations) in order to improve the decision making.
Here are the advantages:
- The decision making process occurred a lot quicker since the managers can relied on computers to analyze all the relevant factors
- Cost benefit analysis can be more accurate since it completely disregard the personal biases of the manager.
- Results between each decisions implementation can be measures easily since it's displayed on numerical value.
12.) A hypothetical condition would be employed in an assignment to
Answer:
n an appraisal assignment, a hypothetical condition is used when a property is appraised under a condition that is contrary to what is known by the appraiser to exist on the effective date of the assignment results.
Explanation:
what are the five economic lssues??
Answer:
Economic issues facing the world economy, as well as regions and countries, include prospects for growth, inflation, energy and the environment, inequality, labor issues, emerging markets, and the impact of new technologies.
A security with only diversifiable risk has an expected return that exceeds the riskfree rate of return
State whether the following is inconsistent with an efficient capital market, the CAPM, or both:
Security with only diversifiable risk has an expected return that exceeds the riskfree rate of return
Answer:
This statement is inconsistent with both.
Explanation:
The statement made in the question is inconsistent with both the Capital Asset Pricing Model (CAPM) and an efficient capital market because both models state that the cost of capital depends only on systematic risk or non-diversifiable risk. Thus the statement contradicts the models of the CAPM and Efficient Capital Market.
The ____ is a type of operational plan that saves managers time because it is created once and then used repeatedly to handle frequently recurring events.
a. standing plan
b. forecast
c. single-use plan
d. options-based plan
e. budget
Answer:
a. standing plan
Explanation:
operational plan make a room for strategy plan it give clear picture of the goals to be accomplished as well as the objectives and the task behind it to the personnel in an organization. It is an implementation of strategies.It should be noted that standing plan is a type of operational plan that saves managers time because it is created once and then used repeatedly to handle frequently recurring events.
Kalki and Kumud were partners sharing profits and losses in the ratio of 5:3. On 1st
April,2021 they admitted Kaushtubh as a new partner and a new ratio was decided as 3:2:1.
Goodwill of the firm was valued as ₹3,60,000. Kaushtubh couldn’t bring any amount for
goodwill. Amount of goodwill share to be credited to Kalki and Kumud Account’s will be:
The amount of goodwill to be credited to the Kalki and Kumud's accounts will be ₹1,80,000 and ₹1,20,000 respectively.
What is goodwill?Goodwill refers to the intangible value of a company that is derived from its reputation, brand recognition, customer loyalty, and other non-physical assets. It represents difference between the purchase price of company and the fair market value of its net assets. Goodwill is recognized as an asset on a company's balance sheet, and it is usually created when a company is acquired in a merger or acquisition. Goodwill is important because it can enhance a company's ability to generate future profits, attract new customers, and maintain its competitive advantage in the market. However, it is also subject to impairment, which occurs when the value of goodwill on a company's balance sheet exceeds its actual value. Impairment can result in a write-down of goodwill, which can have a negative impact on a company's financial statements and its overall valuation.
Total new ratio = 3 + 2 + 1 = 6
New ratio of Kalki = 3/6 = 1/2
New ratio of Kumud = 2/6 = 1/3
Goodwill to be credited to Kalki = (New ratio of Kalki/Total new ratio) * Goodwill value - Amount paid by Kaushtubh for the goodwill
Goodwill to be credited to Kalki = (1/2) x 3,60,000 - 0 = 1,80,000
Goodwill to be credited to Kumud = (1/3) x 3,60,000 - 0 = 1,20,000
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which of these industries is among the fastest growing today?
Today, the health care industry is among the fastest growing today. The Option B is correct.
Why is health care industry fast growing?Medical advances and advancements in medicine and technology have a significant impact on the growth of the healthcare industry, affecting demand for healthcare services.
All these creates more opportunities for workers who are required to provide these services. Those with a master's degree in healthcare management will have many opportunities to fill these positions.
Missing options " A. the Postal Service B. health care C. manufacturing D. education
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A local corporation is sponsoring a scholarship competition in your high school. Part of the evaluation is based on a personal presentation before the committee. You will create three slides for a presentation about who you are and why you should be considered for the scholarship. Write bullet points for the information that you would include.
Answer:
Slide 1: Introduction
- Start with a catchy sentence that captures the committee's attention and introduces yourself briefly.
- Explain why you are excited about applying for the scholarship and what it means to you.
- Mention your academic background, major, and interests.
Slide 2: Main body
- Provide examples of your achievements, skills, and experiences that show your preparedness and potential for the scholarship.
- Highlight how your values align with the organization's mission and goals.
- Explain how the scholarship will help you pursue your academic and career aspirations.
Slide 3: Conclusion
- Summarize your main points and remind the committee of your strengths and uniqueness.
- Express your gratitude for the opportunity and your enthusiasm for joining the organization.
- End with a call to action or a question that invites further discussion.
Which of the following is not an example of a problem explained by agency theory?
A manager fires underperforming employees.
A manager takes few risks to ensure steady dividends.
A manager encounters a conflict of interest between their responsibilities to shareholders and their responsibilities to employees.
A manager protects her own job rather than the shareholder’s wealth.
Answer:
d
Explanation:
A manager protects her own job rather than the shareholder’s wealth.
its not correct.
The next dividend payment by Hoffman, Inc., will be $2.90 per share. The dividends are anticipated to maintain a growth rate of 4.75 percent forever. If the stock currently sells for $49.40 per share, what is the required return? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
Answer:
10.6%
Explanation:
Calculation for the required return
Using this formula
Required return=(Dividend payment/Stock per share)+Anticipated growth rate
Let plug in the formula
Required return =($2.90 per share/$49.40 per share)+0.0475
Required return=0.05870+0.0475
Required return =0.106*100
Required return =10.6%
Therefore the Required return will be 10.6%
Assume that the British government eliminates all controls on imports by British companies. Other things being equal, the U.S. demand for pounds would ____, the supply of pounds for sale would ____, and the equilibrium value of the pound would ____. a. remain unchanged; increase; decrease b. remain unchanged; increase; increase c. decrease; increase; decrease d. increase; increase; increase
Answer:
increase
increase
decrease
Which Airlines lounges are the best ?
Answer:
Air France La Première Lounge, Paris is the first best Airline lounge in the World.
Explanation:
The Air France La Première Lounge gives its customer one of the fashionable flying experiences in the world, as it includes freshening up the cozy cocktail bar to be brighter and more inviting, adding semi-private relaxation areas and installing new pieces of art.
In addition to having one of the best first class inflight experiences available, Air France also provides an outstanding ground experience in Paris. Best food is also offered at the restaurant there.
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Suppose the price elasticity of supply for lumber is 2.4. If the price of lumber increases by 20% how much would the quantity supplied of lumber change
The quantity supplied of lumber would increase by 48% in response to a 20% increase in the price of lumber.
How to calculate by how much would the quantity supplied of lumber changeIf the price elasticity of supply for lumber is 2.4, then we can use the formula:
Elasticity of supply = percentage change in quantity supplied / percentage change in price
Solving for the percentage change in quantity supplied, we get:
Percentage change in quantity supplied = Elasticity of supply * Percentage change in price
Given that the price of lumber increases by 20%, the percentage change in price is 20%.
The percentage change in quantity supplied would be:
Percentage change in quantity supplied = 2.4 * 20% = 48%
Hence, the quantity supplied of lumber would increase by 48% in response to a 20% increase in the price of lumber.
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The additional components of the marketing mix for marketing a service does not include which of the following?
people
process
popularity
physical environment
The marketing mix comprises four primary elements: product, price, promotion, and place. However, when marketing services, some additional components are added to the mix. These components are known as the 7Ps of marketing and include people, process, and physical evidence (or physical environment).
Popularity, on the other hand, is not a component of the marketing mix for services. Popularity can be considered a byproduct of the marketing efforts and how successful they are in promoting the service to the target audience. Popularity is a measure of how well a service is known or recognized in the market.
People: This component of the marketing mix is concerned with the people involved in the delivery of the service. These people include the employees, staff, and other personnel involved in providing the service to the customers. These people are critical to the success of the service and need to be trained, managed, and motivated to provide excellent service.
Process: This component of the marketing mix is concerned with the procedures and processes involved in the delivery of the service. The process should be designed to ensure that the service is delivered consistently and efficiently, meeting the needs and expectations of the customers. A well-designed process can enhance the customer experience and help in creating a positive perception of the service.
Physical Environment: This component of the marketing mix is concerned with the physical environment in which the service is delivered. This environment can include the ambiance, decor, lighting, and other factors that contribute to the customer experience.
A well-designed physical environment can enhance the customer experience and contribute to the success of the service.
Popularity: Popularity can be considered a byproduct of the marketing efforts and how successful they are in promoting the service to the target audience. Popularity is a measure of how well a service is known or recognized in the market.
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The R&R Corporation is authorized to issue 1,000,000 shares of Br. 5 par value common stock. In its first year, the company has the following stock transactions. x + 3
O Jan. 10 issued 400,000 shares of stock at Br. 8 per share.
O July issued 100,000 shares of stock for land. The land had an asking price of Br 900,000. The stock is currently selling on a national exchange at Br. 8.25 per share.
o Sept. 1 Purchased 10,000 shares of common stock for the treasury at Br, g per share.
O Dec. 1 5old 4,000 shares of the treasury stock at Br. 10 per share.
Instructions
a) Journalize the transactions.
b) Prepare the stockholders' equity section assuming the company had retained earnings of Br. 200,000 at December 31.
The transactions are recorded in the journal entry below and the stockholders' equity is also prepared below:
What constitutes the journal entry?a) Journalize the transactions:
Jan. 10:
Debit: Cash (400,000 shares × Br. 8) 3,200,000
Credit: Common Stock 2,000,000
Credit: Additional Paid-in Capital 1,200,000
July:
Debit: Land 900,000
Credit: Common Stock 825,000 (100,000 shares × Br. 8.25)
Credit: Additional Paid-in Capital 75,000
Sept. 1:
Debit: Treasury Stock 90,000 (10,000 shares × Br. 9)
Credit: Cash 90,000
Dec. 1:
Debit: Cash 40,000 (4,000 shares × Br. 10)
Credit: Treasury Stock 36,000 (4,000 shares × Br. 9)
Credit: Paid-in Capital from Treasury Stock 4,000
b) Prepare the stockholders' equity section assuming the company had retained earnings of Br. 200,000 at December 31:
Stockholders' Equity:
Common Stock (400,000 shares * Br. 5) 2,000,000
Additional Paid-in Capital 1,275,000 (Br. 1,200,000 + Br. 75,000)
Retained Earnings 200,000
Less: Treasury Stock (10,000 shares * Br. 9) (90,000)
Total Stockholders' Equity 3,385,000
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