We can calculate total assets by accounting equation, which is total assets equal to total liabilities plus total equity. Using the basic accounting equation:
Total assets = Total liabilities + shareholders’ equity
= total liabilities + ( total common stock + Retained earnings)
= $51.391 million + ($2.540 million + 18.432 million)
= $72.363 million
Therefore, total assets of the firm would be $72.363 million.
Answer:
Event Proxy Corporation Debit Credit
Journal Entry
1 Investment in Server Corporation $133,500
Cash $133,500
2 Investment in Server Corporation $22,500
Income from Server Corporation $22,500
3 Cash $9,000
Investment in Server corporation $9,000
4 Income from Server corporation $3,000
Investment in Server corporation $3,000
Answer:
The operating Income should increase by about 59.0%.
Explanation:
Degree of Operating Leverage = % Change in EBIT / % Change in Sales
5.9 = % Change in EBIT / 10%
% Change in EBIT = 5.9 * 10% = 59.0%
Answer:
The amount of the additional projected liability that should be recognized is $28,000
Explanation:
For computing the amount of the additional projected liability, we have to apply the formula which is shown below:
= Tax benefit in 20% - Tax benefit in 40%
= $70,000 - $42,000
= $28,000
The other information which is given in the question is irrelevant. So, it is not been considered in the computation part. Hence, it is ignored.
We took the higher value between $42,000 and $14,000.
Answer:
The correct answer is letter "A": the social business environment.
Explanation:
The social business environment includes the society inhabitants' believes, customs, and lifestyles. It determines how businesses are handled in different regions worldwide. When it comes to low costs of labor, it might be beneficial for some companies that can open subsidiaries there to lower production costs but it also represents a struggle for some other firms because their products seem unreachable because of the low wages people earn.
