Answer:
$2,040,000
Explanation:
Calculation for the amount of warranty costs paid during 2021
Beginning quality-assurance warranty liability $350,000
Add: Warranty expense $2,000,000
(4%×$50 million)
Less: Ending quality-assurance warranty liability ($310,000)
Warranty cost $2,040,000
Therefore the amount of warranty costs paid during 2021 will be $2,040,000
Answer:
The price of the preferred stock today is $103.27
Explanation:
The preferred stock pays a constant dividend after equal intervals of time and has an indefinite maturity. Thus, a preferred stock is just like a perpetuity. The value or price of a perpetuity can be calculated using the following formula.
The price or a perpetuity:
P = Cash Flow / r
As the cash flow in this case is dividends so we will use dividends in place of cash flow and divide by the required rate of return.
P = 4.74 / 0.0459
P = $103.267 rounded off to $103.27
Answer:
Gain/loss= $7,500 loss
Explanation:
Giving the following information:
Selling price= $24,000.
Lassen bought the machine for $52,000 and has claimed $20,500 of depreciation expense on the machine
First, we need to calculate the book value:
Book value= original price - accumulated depreciation
Book value= 52,000 - 20,500= $31,500
If the selling price is higher than the book value, the company gain from the sale.
Gain/loss= 24,000 - 31,500= $7,500 loss
Answer:
e. Company HD has a lower times interest earned (TIE) ratio.
Explanation:
We know that both companies have the same EBIT, because both have the same Basic Earning Power, which is calculated by dividing EBIT by Total Assets.
Then if company HD has a higher debt ratio and higher interest expenses, it means that the Times Interest Ratio in HD company it's lower than LD company, the Times Interest Ratio , it's calculated by dividing EBIT/Interest Expenses, at the same EBIT, but higher interest expenses on HD company, it means a lower Times Interest Ratio to this company.
Answer:
fraud
Explanation:
the company when making an action with knowledge knows that this product can cause great damage to the end customer and as such action does in the aforementioned products, it generates a fraud in quality, advertising and marketing, threatening the user
