Reference no: EM132589702
Question 1: Jennie Company is in the process of dissolution. 40% of the current assets amounting to USD100,000 were pledged on unpaid notes, 5% amounting to USD50,000. The net realizable value of the pledged asset is USD65,000 and the remaining is USD55,000. A lease of USD100,000 is secured by a non-current asset with a net realizable value of USD80,000. The investment asset costing USD159,000 is an investment in 20,000 units of Permanic Corp equity shares which currently has a market value of USD11.00 per share. The Company has also issued 10,000 units of cumulative preference shares, 5% amounting to USD4.00 per share with a 2-year outstanding dividend. The total unsecured debt is USD180,000. Select the correct answer for the above transaction.
I. All assets are secured assets.
II. Priority shares are a priority liability in liquidation solutions.
III. The net realizable value of all the above assets is USD420,000.
IV. The deficit amount in the statement of affairs is USD30,000.
A. I AND II
B. II AND III.
C. III ONLY
D. III AND IV.
Question 2: Choose the RIGHT answer related to the liquidation of the company.
I. Dissolution may occur through voluntary dissolution, court order or company commission order.
II. Voluntary dissolution is not necessary through the courts.
III. Equity shareholders have priority in liquidation.
IV. Dissolution can be done in stages.
A. I and II
B. I, II and III.
C. I only
D. All wrong.
|
Wwhat is the current yield and ytm
: If it is trading for 1150 rupees, what is the current yield and YTM?
|
|
Global suppliers
: Describe how organizations can overcome the geographic, cultural, and language challenges when seeking potential overseas suppliers. Give specific examples
|
|
What the net realizable value of an independent asset is
: A sum of cash is still available in the bank of USD20,000. In the statement of business, the net realizable value of an independent asset is
|
|
Internet domain names are linked to trademark issues
: Internet domain names are linked to trademark issues. Technology makes it easy to copy and distribute music and movies without paying royalties.
|
|
Find priority shares are a priority liability in liquidation
: USD4.00 per share with a 2-year outstanding dividend. The total unsecured debt is USD180,000. Select the correct answer for the transaction
|
|
Discuss the role of information in the supply chain
: Discuss the role of information in the supply chain and how it supports supply chain planning and execution.
|
|
Which of the statements is correct for purple corporation
: Taupe pays Purple a dividend of $80,000. Purple takes a dividend received deduction of $80,000. Which of the following statements is correct?
|
|
Discuss the problem or issue confronting the organization
: Discuss the problem or issue confronting the organization. Why is there a need to change. Identify a plan to implement the change.
|
|
Record the purchase using the gross method
: Assuming that Nash uses the perpetual method for recording merchandise transactions, record the purchase, return, and payment using the gross method.
|