User Account

All Pages

Explain to bob how the cost should be charged

Assignment Help Accounting Basics
Reference no: EM132612552

Bob Smith, The accountant of ABC Ltd. has been tasked with redeeming part of the shares outstanding for his corporation. Bob is unsure how he should charge the cost of the redemption to shareholder's equity accounts.

Required:

Question 1: Explain to Bob how the cost should be charged to shareholder's equity accounts. Please provide specific responses for the following circumstances:

1) When the cost is lower than the average price per share.

2) When the cost is higher than the average price per share.

Reference no: EM132612552

Questions Cloud

What is innate immunity : -What is innate immunity? What constitutes the first line of defense? What constitutes the second line of defense?
How are the steps for tax research : How are the steps for tax research similar to the steps for financial accounting research? How are they different? Explain in detail with an example.
Make a correcting entry on December : Walker Company received $500 on account (from a customer for services previously performed and billed on July 15). Make a correcting entry on December
Determine the stability of sars-cov-2 : What experiment(s) should you conduct to determine the stability of SARS-CoV-2 under various conditions such as temperature, UV-light, blood, water, and various
Explain to bob how the cost should be charged : Explain to Bob how the cost should be charged to shareholder's equity accounts. Please provide specific responses for the circumstances
Calculate the balances in each equity account after effects : Calculate the balances in each equity account after the effects of the transactions. Reissued 20,000 treasury shares at $11 per share.
Prepare a correcting entry on December : On September 1, Clark Company received $380 for services to be performed in the future. Prepare a correcting entry on December
Provide the entry for exercise : The options were exercised at the end of the fourth year when the market price of common shares is $25. Provide the entry for exercise.
Prepare the appropriate journal entry to record income taxes : No temporary differences existed at the beginning of the year, and the tax rate is 25%. Prepare the appropriate journal entry to record income taxes

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd