Answer: $11,200
Explanation:
Using the accounting equation:
(Total Assets) = (Total Liabilities) + (Total Capital)
So,
(Total Liabilities) = (Total Assets) - (Total Capital) (1)
Based on equation (1), in order to compute for the total liability, we need to compute the total assets and total capital.
At the end of the first year, the following are the assets Shapiro's consulting services (together with the amount):
Cash: $16,000
Office Supplies: $3,200
Equipment: $24,000
Accounts Receivable: $8,000
TOTAL ASSETS $51,200
Note that the total assets is obtained by adding the amount (or value) of the all the assets listed above.
Since the net income is an increase (or decrease if it's a net loss) of capital, we classify net income as capital. In particular, the net income of Shairo's at the end of first year adds to the capital at the start of first year.
Moreover, the withdrawal of money by the owner also decreases the capital.
Thus, the total capital at the end of first year is calculated as follows:
Capital (start of the year): $15,000
Net Income (end of year): $27,000
Withdrawal Amount: ($2,000)
TOTAL CAPITAL: $40,000
Note: ($2,000) means -$2,000. This notation is used in accounting.
Hence using equation (1), the total liabilities at the end of first year is given by
(Total Liabilities) = (Total Assets) - (Total Capital)
= $51,200 - $40,000
Total Liabilities = $11,200
Answer:
The endowment fund is not satisfied with the advisor's performance
Explanation:
Judging from a nominal interest rate perspective where return expected of an investment comprises of real rate of return and an extra return which is a compensation for inflation rate in the economy,the endowment fund is not satisfied with performance of the advisor.
The satisfactory rate of return that would be expected of the advisor is computed below:
nominal interest rate=real rate+inflation rate
real rate is 8.2%
inflation rate is 2.9%
nominal interest rate=8.2%+2.9%
=11.10%
Answer:
(a) 1,370,000 shares
(b) 42.19%
Explanation:
Given that,
Shares in a restaurant chain venture = 1,000,000 shares
Price of each share = $1.00
(a) To raise the additional $1,370,000:
Shares will you need to sell:
= Additional amount ÷ Price of each share
= $1,370,000 ÷ $1.00
= 1,370,000 shares
(b) No. of Shares After investment:
= Shares need to sell + Shares in a restaurant chain venture
= 1,370,000 + 1,000,000
= 2,370,000 shares
Therefore, the fraction of the firm will you own after the VC investment:
= (Shares in a restaurant chain venture ÷ No. of Shares After investment) × 100
= (1,000,000 ÷ 2,370,000) × 100
= 0.4219 × 100
= 42.19%
The answer is B. Blueprints for a house. Hope it help
Answer:
75000,25%;
18000, 30%.
420000, 15%.
Explanation:
From the question above we are given the following parameters Accounts receivable for year 2017 = $ 375,000,
Inventory for the year 2017 = 780,000 and the Total assets for the year 2017 = 3,220,000.
Accounts receivable for year 2016 = $ 300,000, inventory for the year 2016 = 600,000 and the Total assets for the year 2016 = 2,800,000.
Therefore, we have the following simple arithmetic(which is subtraction between the variables in the two years) to determine the solution to the question:
(375,000 - 300,000) = 75,000 = 25%(increase).
(780,000 - 600,000) = 180,000 = 30%(Increase).
(3,220,000 - 2,800,00) = 420,000 = 15%(increase).
