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Question - The net operating income of a company is Sh. 25 million. The company is financed using debt of Sh. 50 million, equity of Sh. 60 million and preference shares of Sh. 10 million. The interest attracts interest at a rate of 6% while the preference dividend is paid at a rate of 8%. The tax rate is 50%. Calculate the return on equity (ROE).
Mottle Inc. fixed costs are expected to be $70,000 and variable costs are expected to be $20 per product. Determine the required sales in dollars to break even
Assuming that purchases are recorded at net amounts, Prepare the adjusting entry necessary on August 31 if financial statements are to be prepared at that time
the east company manufactures several different products. unit costs associated with product ord203 are as
Profit and Loss appropriation account to allocate the profit with 3:2 to partners A and B respectively. Provide necessary journal entries
maggie brown works for a clipping service from her home. she spends three to four hours per day reading newspaper
What is the amount of current portion of the lease obligation Reynolda should report on the December 31, 2015, balance sheet?
on january 1 2012 palmer company leased equipment to woods corporation. the following information pertains to this
On 1 January 2016, Good Ltd acquired a block of land for $100000 cash, and on the same day Better Ltd purchased the adjacent block, which was virtually identical to the block purchased by Good Ltd, also for $100000 cash. Both companies intended to..
The prevailing rate of interest for a note of this type on January 1, 2017, was 9%. At what amount should the gain from the sale of the building be reported
Suggest strategies or solutions to neutralize the situation so the project can move forward. Develop a communication plan to coach both managers on how to work together to accomplish the organization's goals.
If the company purchases 201,000 square feet of raw material during the month, the estimated raw-material inventory on June 30 would be
The Footnotes to the financial statements are also a form of disclosure. Should any amount not be accrued and only disclosed in the footnotes? Why bother?
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