true or false: after an initial sale of stock to the public by x, inc., when investors sell their shares in secondary markets, x's total stockholders' equity will increase.

Answers

Answer 1

The statement, "After an initial sale of stock to the public by x, inc., when investors sell their shares in secondary markets, x's total stockholders equity will increase." is false.

After all debts have been settled, a company's assets are still in its possession; this is referred to as stockholders equity. If retained earnings and share capital are added together, treasury stock is subtracted to get the same amount. This indicator is often used by analysts and investors to evaluate the general financial health of a firm.

If equity is positive, the firm has enough assets to cover its debts. A negative shareholders equity may be a sign of impending insolvency. Stockholders equity can be either good or negative. If the result is favorable, the firm has more resources than loans. A negative value indicates that the company has greater debt than profits. If this keeps happening, it is considered balance sheet insolvency.

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Related Questions

Question 20 (1.42 points) Which statement best describes an Institutional Review Board (IRB)?
O Subjects are told what the purposes of the study are, what participation in the study involves, what risks (if any) are involved in participating, and what the person can expect to receive in return for participation.
O Subjects must be told the true purpose of the study and the reason for the deception.
O Personal information will not be shared with anyone outside the immediate research group and any results from the research will not identify any of the participants by name.
O They usually comprise people who have research experience themselves and therefore have experience that enables them to judge whether the research being proposed follows reasonable ethical guidelines.

B Question 21 (1.42 points) Which is an example of a negative correlation?
O exercise and physical health
O study time and grades
O exposure to sunlight and plant growth
O gas prices and the rate of driving

Answers

The correct answer is exercise and physical health is an example of a negative correlation.

After a certain point, exercising excessively might be bad for your health and inhibit your progress, particularly if your exercises are scheduled closely together. OTS can impair your level of fitness, have a detrimental impact on your performance, and result in injuries. Physical activity may strengthen your bones and muscles, help you maintain a healthy weight, increase your ability to carry out daily tasks, and improve your cognitive health. Adults who spend less time sitting and engage in any level of moderate-to-vigorous exercise reap some health advantages. The three basic forms of exercise are aerobic, muscle-building, and bone-building. Exercises involving flexibility and balance are also advantageous. Your heart and lungs will benefit most from aerobic exercise.

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based on an analysis of future skills needed, an organization implements two new training courses. what type of intervention is this?

Answers

Based on the analysis of future skills needed, an organization implements two new training courses. This type of intervention is known as Organizational Rationale.

Changing the organization's design, structure, and/or culture is the goal of an organizational intervention, which aims to boost performance throughout the entire organization.

Interventions within an organization affect the whole company or organization. They might be required if an organization is implementing new tactics, goals, or procedures that have an impact on every worker. Enhancing morale to forge a more solid shared vision may occasionally be a part of the organizational intervention. The use of team-building strategies is one example of Organizational intervention

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How can you avoid downloading malicious code Cyber Awareness 2022?

Answers

Being aware of the websites you visit and the downloads you are making is the greatest approach to prevent downloading harmful programmes.

How can harmful code be prevented from being downloaded Cyber Awareness 2022?Only download files from reliable websites, and confirm that the website is secure before doing so (look for the "https" in the URL).Keep in mind that obsolete software is more vulnerable to exploits, so always keep it updated. A reliable antivirus programme should always be used, and new downloads should be scanned with it before being opened.Last but not least, remember to keep your passwords private and never disclose them. These recommendations can help prevent harmful code out of your systems.Recognize scam emails and online pages. Never open attachments, click links, or download files from untrusted sources.Just get your programme from reliable websites. Use a trusted antivirus product and make sure your software is up to date.To protect your accounts, use two-factor authentication.Make sure your browser is secure and up to date.Be cautious when using free Wi-Fi. When connecting to public networks, be sure to utilise a Virtual Private Network (VPN).Become knowledgeable about the best practises for online safety and keep up with the most recent cyber security headlines.

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How freedom is restricted in a command economy?

Answers

Because the government controls the use of most of the property, economic freedom is constrained under a command economy.

Which concept of a market economy is the most accurate?

a kind of capitalism where the production tools are held by the government and activity is governed by a single central authority.

Which significant benefit does a command economy have?

The ability to modify production rates and the supply of completed items to satisfy consumer needs is one of the key benefits of a command economy.

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if you are invested in frontier markets and would like to maximize the benefits of diversification, which fund should you choose to add to your portfolio? g

Answers

An optimal portfolio is one that strikes the right balance between return and risk. The ideal portfolio seeks to strike a balance between securities with the lowest risk and those with the highest returns for a given return.

Which Frontier is going to be used for your portfolio?

Modern portfolio theory is based on the idea that investors should aim to create a portfolio that maximizes expected returns based on a particular level of risk. The efficient frontier serves as the foundation for this theory.

Which efficient frontier portfolio determines an investor's decision?

Your risk tolerance for your assets determines how much of an efficient frontier a portfolio is placed on. Investing in assets on the right side of the frontier might be a safe bet for risk-averse investors, whereas investing in assets on the left side of the curve might be safer.

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Do you still have to pay Medicare tax after age 65?

Answers

Medicare is a federal insurance program for people aged 65 years and over and those with certain health conditions. The program aims to help older adults fund healthcare costs, but it is not completely free. Each part of Medicare has different costs, which can include coinsurances, deductibles, and monthly premiums.

Medicare is a federal insurance program for people aged 65 years and over and those with certain health conditions. The program aims to help older adults fund healthcare costs, but it is not completely free. Each part of Medicare has different costs, which can include coinsurances, deductibles, and monthly premiums.Your age doesn't change whether or not you pay Medicare taxes. If you retire from your career at the age of 65 and decide to start working part-time, your income is subject to Medicare taxation.

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Dawson is the head of an internet service company and is studying areas where there is limited service so he can determine how best to meet the needs of these regions. What entrepreneurial trait is Dawson demonstrating?

resilience
strategic thinking
coordination
management

Answers

Entrepreneurial trait is Dawson demonstrating is strategic thinking. Option B is correct.

What is strategic thinking?

Planning for the future requires the ability to think strategically. Strategic thinking the ability to plan plans and come up with concepts that will take into account the numerous obstacles that lie ahead while also coping with changing situations.

Further Strategic thinking can also imply creating a plan to deal with potential obstacles in the future. This can help you foresee issues and effectively handle them, enabling you to overcome obstacles and succeed.

Thus Dawson studying the potential problems that could be arise in limited internet services in a particular region that would be a strategic thinking model.  

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How do court cases cost hundreds of thousands of dollars? choose all that apply.

Answers

The court and the nature of the case will determine how much money you must pay. Throughout your lawsuit, you could need to pay additional filing fees.

If you'd like to know the overall cost of your court case, the court clerk can provide you with a list of all the filing fees. Do filing fees apply to all legal proceedings Examples of case expenses that are distinct from legal fees include paying experts' travel, lodging, and time expenses for depositions. Bonds and bail. judicial filing costs. courier and postage costs. the price of making copies of papers. If you'd like to know the overall cost of your court case, the court clerk can provide you with a list of all the filing fees. Do all legal proceedings require

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Is a barter economy an economy with no money?

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In an economic system of barter no money is involved in the transaction or exchange between goods and services.

In an economic term, a barter economy is defined as an economic system in which the exchange of goods and services happens without the involvement of money, but it rather involves an exchange of goods and services which are negotiated at a certain rate that is agreed upon by both parties doing the exchange. Barter economic is considered one of the earliest economic system existed before the invention of monetary system or money.

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A government subsidy to the producers of a product Multiple Choice
O increases product demand.
O reduces product demand.
O increases product supply.
O reduces product supply.

Answers

A government subsidy to the producers of a product increases product supply.

A benefit granted to a person, company, or institution is known as a subsidy, and it is typically provided by the government. Payments made in cash are an example of a direct payment (such as tax breaks). The purpose of the subsidy is often to alleviate some sort of hardship, and it is frequently thought to be in the public's best interest to provide it in order to further a social good or economic policy.

Although frequently provided by the government, the phrase "subsidy" can refer to any form of assistance, such as that provided by NGOs or as implicit subsidies. There are many different types of subsidies, such as direct (cash gifts, interest-free loans) and indirect (tax breaks, insurance, low-interest loans, accelerated depreciation, rent rebates).

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How can virtual leaders ensure effective communication with remote workers?

A. Use multiple channels to communicate.

B. Develop a strong one-way process for communication.

C. Minimize the use of structured work-related events.

D. Allow each remote employee to establish ground rules for getting work done.

E. Limit active listening.

Answers

Virtual leaders ensure effective communication with remote workers Allow each remote employee to establish ground rules for getting work done. The correct option is D.

Why is effective communication important in virtual teams?

Building trust and effective communication between team members are essential for virtual teams to perform to their highest potential. Establishing strong team trust is a crucial part of creating effective communication among virtual teams.

As a manager, you can foster remote socializing using collaboration apps and tools like Meet, Microsoft Teams, or other instant messaging tools to support your employees' remote connectivity.

Thus, the ideal selection is option D.

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Why is it important to consider the needs and wants of the customer in developing new products and company's success?

Answers

To provide outstanding customer service, it is crucial to understand your customer's demands. Your purchases and loyalty are driven by customer demands.

Why is it crucial to understand the requirements and preferences of your clients?

Whether a company sells directly to consumers or other enterprises, knowing and comprehending client needs is at the core of every successful organization. As soon as you are aware of this, you can utilize it to convince both current and new clients that doing business with you is in their best interests.

What makes asking customers what they want important?

It assists you in involving your clients and winning their support. Perhaps Henry Ford didn't ask what his customers wanted. He did, however, provide them with a speedier horse—just not in the usual sense.

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What is EU NAFTA ASEAN?

Answers

The ASEAN pact was initially established to support peace and to empower Southeast Asian nations.

NAFTA: Did it benefit or harm the US?

Key Learnings. Increased commerce, economic productivity, foreign investment, and reduced consumer costs were some benefits of NAFTA. When domestic firms moved to Mexico, where wages are cheaper, American jobs were lost, and wages in American manufacturing facilities were also lowered.

Why is NAFTA ineffective?

Between 1994 and 2004, Mexico lost roughly 1.3 million farm employment as a result of NAFTA. 5 Up to 40% of gross farm income was given to American agribusiness as subsidies under the 2002 Farm Bill. 6 Companies sold corn and other commodities to Mexico beneath cost after NAFTA eliminated trade duties. Farmers in rural Mexico couldn't compete.

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why is walmart still using edi-based systems? why won't walmart join in an industry-backed system? what do you think the future of retail link looks like at walmart? should walmart consider replacing retail link and edi? how can other companies compete with walmart? what is an example of another large private industrial network that is not walmart, coca-cola or procter

Answers

If Walmart is a multi billion dollar retail company why wouldn't suppliers move next to there headquarters.

Does Walmart require EDI?Walmart believes that its business partners should all be using EDI since it decreases human interaction and errors, eliminates costs of physical file storage, reduces management time, and reduces transaction time realized with EDI.Walmart is a major player in the retail industry. E-Commerce is another level. Several significant internet merchants with such a substantial market presence have posed a challenge to Walmart. Walmart's acquisition of well-run e-commerce sites expands the company's ability to sell more.Purchasing non-traditional stores expand the range of products available to clients who use online shopping applications.Approximately 70% of American houses are within 5 miles of a Wal-Mart store.Groceries, when connected with the ability to order and pick up items online, provide additional advantages for clients who make the majority of their purchases.Newly purchased e-commerce retailers will not only be able to attract new clients, but they should also have no adverse effect on sustainable customers.The internet choices are convenient for any clients that utilize the service.

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How do you achieve flexibility goals?

Answers

While fostering an exercise plan, further developing flexibility is a significant component to consider. Stretching our muscles is in many cases considered an extra to work out, something we do during warm-up and chill off periods

Our flexibility normally declines. Muscles lose their solidarity and tone, and tendons and ligaments become more inflexible. As the joints become all the more firm, solid portability is more diligently to accomplish

The majority of our flexibility is lost in the shoulders, hips, spine and knees as we progress in years. This makes practice harder, yet in addition general everyday undertakings like twisting around or going after something on a rack.

Here are far to deal with your adaptability:

Make stretching a predictable piece of your wellness schedule, adding around 10 minutes of stretches when ordinary exercises.Explore different avenues regarding yoga, Jujitsu, Pilates, expressive dance and different exercises assuming you improve more organized work out.While extending, consistently stretch until you feel some opposition. Then stand firm on that footing without extending excessively far or making any sharp, abrupt developments.Have a go at adding obstruction groups to your stretches and customary exercises.Download an extending application or follow directed flexibility exercises to consider yourself responsible and be predictable.Remain hydrated!

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a company rents a building with a total of 65,000 square feet, which are evenly divided between two floors. the total monthly rent for the building is $58,500. the company allocates $39,000 of total rent expense to the first floor and $19,500 of total rent expense to the second floor. how much of the monthly rental expense should be allocated to a department that occupies 10,000 square feet on the second floor?

Answers

10,000 square feet of rented space costs $8,000 per month for the department.

How could I rent a place in Bahrain?

Typically, you must pay three months' worth of rent up front, following which you may choose to pay monthly or quarterly. One- security deposit that is repaid at the conclusion of the tenancy may be requested by some landlords. According to the lease, you have one week to pay the rent beyond the due date.

Briefing :

Rent for 1st floor $39,000/3*2 = $26,000

Rent for 2nd floor $39,000/3*1 = $13,000

Allocated rent for department = $26,000/ (65000/2) * 10,000

Because the first and second floors each have 65,000 square feet, there is an equal distribution. so each level is 32,500 sqft.

Allocated rent for department = $8,000

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A company is giving away a free stuffed bear to promote its new store. even if the bear is free for you, the item still cost money to make, as someone spent time, labor, and resources on it. what does this example best demonstrate?
a. entrepreneurial ability
b. rational self-interest
c. lens of scarcity
d. opportunity cost

Answers

A company is giving away a free stuffed bear to promote its new store. even if the bear is free for you, the item still cost money to make, as someone spent time, labor, and resources on it. what does this example best demonstrate

d.opportunity cost

What are some examples of opportunity cost?

The value of the next-highest-valued alternative use of a resource is what economists mean when they talk about its "opportunity cost." You cannot, for instance, read a book at home during the time you would have spent seeing a movie and spend the money you would have spent on something else.What is the short definition of opportunity cost?

How Does Opportunity Cost Work? Opportunity costs are the possible advantages that a person, investor, or company forgoes while deciding between two options.

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What are the 5 deductions?

Answers

5 Incomes which are deductable :

Public Provident Fund (PPF)Life Insurance PremiumsBank Fixed DepositsNational Savings CertificatesSenior Citizens' Savings Scheme

Tax deduction refers to the claim made to reduce taxable income, which arises from various investments and expenses incurred by the taxpayer. Therefore, deducting income tax reduces the overall tax burden. It is a type of tax benefit that helps you save taxes. However, the amount of tax you can save depends on the type of tax benefit you claim.

Different Types of Tax Deductions in India

You can reduce your taxable income by maximizing your deductions. There are many investment options and types of expenses that can help you earn a deduction on your taxable income. The Indian Income Tax Act provides several provisions for this. Some of the incomes are mentioned below which tax deductible:

Public Provident Fund (PPF) By contributing to your PPF fund, you can get tax deduction under Section 80C, Indian Income Tax Act, 1961.Life Insurance Premiums You can get income tax deduction for premiums on life insurance policies for self, spouse and child under section 80C of the Income Tax Act of India, 1961. The amount received on maturity of the policy is not and taxes. However, it is subject to the terms and conditions mentioned in your policy.National Savings Certificates (NSC) The amount invested in NSC is eligible for tax deduction under section 80C of the Income Tax Act of India, 1961. National Savings Certificates are one of the most popular investment options in India. However, the interest earned from NSC is taxable. As NSC is an accumulation scheme, it is reinvested and is eligible for tax deduction.Bank Fixed Deposits (FDs) You can get tax deductions by investing in fixed deposits for a period of 5 years, under section 80C of the Indian Income Tax Act, 1961. Many banks in India offer fixed deposits of tax savings. However, interest accrued on FDs is subject to tax.Senior Citizens' Savings Scheme (SCSS) Senior Citizens can get tax relief by investing in the Senior Citizens' Savings Scheme offered by banks. These schemes are eligible for tax deduction under section 80C of this Act. The profits from these schemes are completely taxable.

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mainly explains the tendency for the yield curve to be upward sloping. question content area bottom part 1 a. market segmentation theory b. expectations theory c. investor perception theory d. liquidity preference theory

Answers

Liquidity preference theory mainly explains the tendency for the yield curve to be upward-sloping. Thus option D is correct.

What is market segmentation?

The technique of dividing a marketplace into groups of consumers with common traits is known as segmentation

According to the money demand theory, protracted mortgage rates for most any individual issuer tend to have a higher than real issue because of the decreased liquidity as well as higher receptivity of extended investments to general interest rate fluctuations, which results in an up into the air lending rate.

Therefore, option D is the correct option.

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if the mpc is 0.50 and there are no crowding-out or accelerator effects, then an initial increase in aggregate demand of $145 billion will eventually shift the aggregate demand curve to the right by a. $290 billion. b. $216 billion. c. $480 billion. d. $150 billion.

Answers

If the mpc is 0.50 and there are no crowding-out or accelerator effects, then an initial increase in aggregate demand of $145 billion will eventually shift the aggregate demand curve to the right by a. $290 billion.

How to find the overall change in the aggregate demand?

Given data:

Marginal propensity to consume, MPC = 0.50

Initial increase in an aggregate demand = $145billion

First step is to find the spending multiplier using this formula

Spending multiplier= 1 ÷ (1 - MPC)

Spending multiplier= 1 ÷ (1 - 0.50)

Spending multiplier= 1 ÷ 0.50

Spending multiplier= 2

Now let find the  overall change in the aggregate demand  using this formula

Overall change in the aggregate demand = Initial increase in the aggregate demand × Spending multiplier

Overall change in the aggregate demand = $145 billion × 2

Overall change in the aggregate demand = $290 billion

Therefore the correct option is A.

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Corporate restructuring includes capital and asset restructuring as well as

Multiple Choice

technology restructuring.

procurement restructuring.

global diversification.

management restructuring.

JAB Holding Co., used ________ to change its focus from a diversified holding company to a more focused beverage and food firm.

Multiple Choice

acquisitions

logistics

operations

shareholder value

Honda used to develop all technology in house but could no longer keep pace with changing technologies and the cost of developing new technologies. It chose to ________ to develop new technologies.

Multiple Choice

use mergers

hire more technical staff in house

use strategic alliances

change physical locations

Answers

Business restructuring refers to a decision made by the corporate entity to drastically alter its capital structure or activities. Corporate restructuring often takes place when an organization is facing serious issues and is at risk of going bankrupt.

The method of restructuring will depend on the type of transaction and the parties involved. An organizational reorganization, like a merger or acquisition, might take anywhere from six months to two years. This might take considerably longer, though, depending on the required authorities' approval. Financial Restructuring Due to unfavorable financial conditions, a significant decline in overall deals may trigger this form of reorganization. In this case, the corporate substance may change its value design, cross-holding design, obligation adjustment plan, and value property.

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one of your projects is over budget while the other is under budget. you decide to transfer money from the letter to the former and report both projects as within budget. this is against the pmi code of ethics and is called

Answers

One of your initiatives has a higher budget than the other; This is referred to as unethical management and is contrary to the PMI ethics code.

What is a budget, and what does it serve?

Fundamentally said, a budgeting is a balanced spending plan that takes into account both current and upcoming revenue and expense sources. With the help of a budget, you can keep your spending in check and make sure that investments are still schedule for the future.

Budgets: how are they made?

You can determine how much you will spent each monthly by creating a detailed budget. By establishing a budget, you can make sure you have enough money each month. If you don't establish a budget, you risk running out of money prior to your next pay period.

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A cash equivalent is an investment that:

A) Is readily convertible to a known amount of cash
B)Is sufficiently close to its maturity date so its market value is unaffected by interest rate changes
C) Generally is within 3 months of its maturity date
D) Is highly liquid
E) All of the above

Answers

Option (E) is correct that A cash equivalent is an investment that have all of the above

Cash equivalents are investments that can be converted to cash quickly. The investment must be made for a brief period of time, typically three months or less.

Cash equivalents have to be very liquid and simple to sell. These investors' buyers ought to be simple to reach.

Cash equivalents must be valued in dollars. Therefore, the market price of all cash equivalents must be known and should not fluctuate. It must not be anticipated that the value of the cash equivalents will change significantly before redemption or maturity.

According to the question,

Option(e) all of the above is correct


A cash equivalent is an investment that have all the following

A) Is readily convertible to a known amount of cash

B)Is sufficiently close to its maturity date so its market value is unaffected by interest rate changes

C) Generally is within 3 months of its maturity date

D) Is highly liquid

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What are the 5 resources of management?

Answers

Resource management is the practice of planning, scheduling, and allocating people, money, and technology to a project or program. The 5 Ms of management is Manpower, Money, Materials, Machinery, and Methods.

Manpower: It is a vital component of any organization as no other resource can function without it. Money is an all-purpose resource. A business needs capital to manufacture products or provide services. The materials are those products that are utilized for creating the final product. Raw materials are the primary building blocks of any production process. Machines are used for converting raw materials into finished goods.

The method, being a way of getting things done, definitely does revolve around management. Also, different methods require different time for the completion of the same tasks.

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exclusive right to sell = RE firm is guaranteed a commission if ANYONE sells the property

Answers

Even if the owner finds a buyer on their own,the broker still receives a fee for the sale of the farm or property under an exclusive right of sale agreement.

In an exclusive agency listing,the owner is free to sell the home and is not required to pay the broker anything.An exclusive right to sell agreement is a contract between the owner and a real estate agent that gives the broker the right to charge a commission when the owner's property is sold. In an exclusive right to sell listing, the seller agrees to pay a commission to the agent regardless of who finds the buyer.This is the most frequently used type of listing agreement.A listing agreement must be in writing and signed by the seller.

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What are the characteristics of entrepreneurs?

Answers

The characteristics of entrepreneurs are:

Creativity.Willingness to try thingsHonesty. Always having a plan. Understanding the value of self-care.

How can an  entrepreneur  be described?

An individual who starts a new firm, taking on the majority of the risks and reaping the majority of the gains, is known as an entrepreneur. Entrepreneurship is the practice of starting a business. The entrepreneur is frequently viewed as an innovator, a source of fresh concepts for products, services, businesses, and operational methods.

Entrepreneurs are essential to any economy because they have the knowledge and drive to foresee requirements and sell viable new ideas. Entrepreneurship that succeeds in assuming the risks involved in founding a firm.

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Fees charged by participants in an affiliated business arrangement (ABA) to meet RESPA requirements must be reasonably related to the value of the services provided and:

A) May include fees exchanged among the affiliated companies for referring business to one another, providing such fees are not excessive
B) Require no additional disclosure as to the ownership relationship between the providers
C) May include fees exchanged among the affiliated companies for referring business to one another
D) May not be fees exchanged among the affiliated companies simply for referring business to one another

Answers

Fees charged by participants in an affiliated business arrangement (ABA) to meet RESPA requirements must be reasonably related to the value of the services provided and may not be fees exchanged among the affiliated companies simply for referring business to one another. So the option D is correct.

A way for real estate brokers and/or agents to benefit lawfully from mortgage finance and/or title insurance when you buy real estate is through Affiliated Business Arrangement(ABAs).

The real estate broker and/or agents that are a part of the ABA are required by federal RESPA regulations (Real Estate Settlement and Procedures Act) to have you sign a disclosure in which they disclose their financial interest in the affiliated company AND ask for your consent to order title insurance on your behalf.

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An account number in the journals post. ref. column shows:____.

Answers

An account number in the journals post. ref. column shows  The number allocated to that account is listed in the Post Ref column in the General Journal to show when an account has been posted to a specific account.

A posting reference column, frequently abbreviated as PR, is a generic journal column that serves as a reminder when entries have been made and posted to ledger accounts. To put it another way, it's a column in the journal that enables bookkeepers to mark the journals post that have already been posted and keep track of the ones that will still need to be done in the future. When a general journal doesn't include a posting reference column and there are hundreds or even thousands of entries, this can be challenging. Traditionally, the PR column is situated between the.

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keynesians: a. accept the fact that policymakers should eliminate inflation first before focusing on unemployment. b. accept the countercyclical policy of doing nothing, that is, allowing market forces to work. c. focus on increasing aggregate demand in order to stimulate the economy. d. believe that the level of aggregate demand in the 1930s was sufficient to generate full employment.

Answers

c. The Keynesians focus on increasing aggregate demand in order to stimulate the economy.

Keynesians accept that aggregate demand is the key to stimulating economic growth. They believe that when aggregate demand is low, government spending and/or tax cuts can be used to increase it.

This will then lead to increased economic activity, employment, and wages, which in turn will lead to increased consumer spending and investment. By increasing aggregate demand, Keynesians believe that policymakers can reduce unemployment and increase economic growth.

They also accept that government intervention is necessary to ensure that the economy is balanced and that unemployment is kept to a minimum. This includes policies such as fiscal and monetary policies that can help to increase aggregate demand while simultaneously controlling inflation.

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Calculating addition to retained earnings Excel FILE HOME INSERT PAGE LAYOUT FORMULAS DATAREVIEW VIEW Sign In Ob Calibri u- h4. 2.A. Cells Editing Paste ·▲▼ Alignment Number Conditional Format as Cell Num FormattingTabl Styles- Clipboard r Font Styles U18 A B Cash dividends $ 95,000 13 14 15 16 17 18 19 20 21 Complete the following analysis. Do not hard code values in your calculations Income Statement Sales Costs Depreciation expense EBIT Interest expense EBT Taxes (21 % Net income 23 24 25 26 27 28 29 30 31 32 Addition to retained earnings

Answers

The addition to retained earnings is $209,150.

How to calculate retained earnings?

Retained earnings is a cumulative the income or profit in corporation after distributing the dividend, or in other word the retained earning is the profit in corporation which are not distributed as dividends.

So, basically to calculate retained earnings we only need subtract the net income by dividend. But, we need to calculate the net income first which is can be done by subtract the sales by all expenses.

Net income = sales - costs - depreciation expenses - interest expenses - tax

Net income = $817,000 - $343,000 - $51,000 - $38,000 - tax

Net income = $385,000 - tax

Since tax is 21%, so the value of tax is $385,000 * 21% = $80,850.

Net income = $385,000 - $80,850

Net income = $304,150

Then, we can calculate the retained earnings.

Retained earnings = net income - dividend

= $304,150 - $95,000

= $209,150

To completion the table, see the attached image.

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