Answer:
Daily scrums provide the opportunity for the team members to think, reflect on, and adjust the work done on a project. This opportunity helps new team members to learn fast because of the interaction they share with experienced team members. This means that the experience of other team members rob off on the new team members during timeboxed scrums, making them to become more productive.
Explanation:
Scrum is an agile project framework or approach that requires team members to meet regularly to solve emerging problems, reflect on their work through a process of iteration, and map out ways to accomplish tasks quickly. Tasks are also prioritize based on the value that they contribution to the project development.
Answer:
The company's cost of preferred stock for use in calculating the WACC is 9.65%
Explanation:
For computing the cost of preferred stock, the following formula should be used which is shown below
= Annual dividend based on preferred stock ÷ (Price per share × Flotation cost)
where,
Flotation cost = 1- rate
= 1- 4% = 0.96
= $9.50 ÷ ($102.50 × 0.96)
= $9.50 ÷ $98.4
= 9.65%
The flotation cost should be deducted because it is a one time expense. Thus, it would be minus from price per share.
Hence, the company's cost of preferred stock for use in calculating the WACC is 9.65%
Answer:
Whether the technology provides benefits and responds to customers needs
Explanation:
Technological innovation can be defined as the introduction of new technical products and services or improving an existing ones.
One major reason for this is to address human needs and better serve individual . Therefore whenever any firm wants to launch any new product , it is important that it must create a balance between what is technically possible and whether the new technology provides benefits and responds to customers needs.
Answer:
Explanation:
From the information povided:
(a) To compute the amount of goodwill paid by Chicago Corporation
Particulars Amount ($)
Accounts Receivable 100000
Inventory 170000
Plant & Equipment 400000
Land 90000
Customer List 4000
Trade Names <u> 16000</u>
NET ASSETS (A) <u>780000</u>
<u />
Current liabilities 76000
Non-current liabilities <u>160000 </u>
NET LIABILITIES (B) <u> 236000</u>
∴
PURCHASE CONSIDERATION (A -B) 544000
<u>Less:</u> Cash Paid <u> 580000</u>
GODWILL <u> 36000 </u>
<u />
b)
In the books of Chicago Corporation, the Journal Entry to record the purchase of Naperville Company.
Account Name Dr. Cr.
Accounts Receivable A/C 100000
Inventory A/C 170000
Plant Equipment A/C 400000
Land A/C 90000
Customer List A/C 4000
Trade Names A/C 16000
Goodwill A/C 36000
Current liabilities A/C 76000
Non-Current Liabilities A/C 160000
Cash A/C 580000
c)
The minimum required amount of goodwill that Chicago can amortize by the end of 2020 is $3600.This is because the amortization can take place for a period of 10 years.
<u />
Answer:
A.
Jan 1 balance 72,350
Add year 1 purchases $22,100
Total $94,450
Deduct the closing balance $69,400
Difference = sold equipment at Net Book Value = $25,050
Add accumulated depreciation to date = $22,000
Cost of equipment sold = $47,050.
B.
Cash flow from investing activities.
Cash received from sale of equipment (the Net book value + Gain in sales) = $30,050
Cash invested in purchase of new equipment -$22,100
Net cash flow from investing activities $7,950
