13 Question 9Abnormal earnings areO net income adjusted for a capital charge computed as the beginning book value of equity divided by the discount rate.O the same than the expected returns.O net income adjusted for the beginning book value of equity.O net income adjusted for a capital charge computed as the discount rate multiplied by the beginning book value of equity

An earnings of the company are defined as the after tax the net income. Basically, they are the…

Answered: Question 9 Abnormal earnings are O net…

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter12: Fainancial Statement Analysis

Section: Chapter Questions

Problem 40MCQ

See similar textbooks

Similar questions

6. RequiredState whether each item is reported:1. in the statement of financial position2. in profit or loss in the statement of profit or loss and other comprehensive income3. as other comprehensive income in the statement of profit or loss and other comprehensive income4. in the statement of changes in equity5. in the notes to the financial statements.Item How item shown in financial statements(a) loss on revaluation of availablefor-sale investments(b) finance expenses(c) aggregate dividends declared and paid during the year(d) revaluation loss on building (not reversing any previous revaluation)(e) allowance for doubtful debts(f) transfer from retained earnings to general reserve(g) contractual commitments under an operating lease(h) deferred tax liability
1. How are TIPS quoted? A. As a percentage of par value B. As a percentage of accrued interest C. At a discount of par value D. As a percentage of current accrued principal
8. Realized gains and losses on investments available for sale are reported a. as a current assetb. on the income statementc. on the balance sheet as part of stockholders' equityd. as a contra asset
QUESTION 8 The journal entry required to record the receipt of dividends under the fair value method of accounting for investments includes a a. credit to dividend income. b. credit to the investment account. c. debit to retained earnings. d. debit to the investment account.
consider the following data RF= 4.15% RPM = 5.35% and B= .85 based on the CAPM approach what is the cost of equity from retained earnings?
Requirements: 10. How much is the consolidated liabilities on December 31, 2x19?11. How much is the consolidated stockholder’s equity on December 31, 2x19?
Requirements:10. How much is the consolidated liabilities on December 31, 2x19?11. How much is the consolidated stockholder’s equity on December 31, 2x19?
C) Choose the correct answer: 7. Comprehensive income includes the following items, except: Select one: a. Deferred gains or losses from derivatives. b. Unrealized gains or losses from available-for-sale investments. c. Dividends distributed to shareholders. d. Net income.
Question: 7. Quick assets ratio or Quick ratio or Acid test ratio (need interpretation) Current assets – stock at end of period/current liabilities at end of period
7. A measure of the Company's long term debt paying ability is Select one: a. Dividend payout b. time interest earned c. Return on assets d. Length of the operating cycle
Effect of transactions on stockholders equity Indicate whether each of the following types of transactions will either (A) increase stockholders equity or (B) decrease stockholders equity: 1. expenses 2. issuing common stock in exchange for cash 3. dividends 4. revenues
22 Operating profit margin is also known as ________________________. a. Earnings before tax b. Earning after interest and tax c. Profit before interest and tax d. Profit after interest and tax

SEE MORE QUESTIONS

Recommended textbooks for you

Cornerstones of Financial Accounting

Accounting

ISBN:

9781337690881

Author:

Jay Rich, Jeff Jones

Publisher:

Cengage Learning

Financial & Managerial Accounting

Accounting

ISBN:

9781285866307

Author:

Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:

Cengage Learning

Cornerstones of Financial Accounting

Accounting

ISBN:

9781337690881

Author:

Jay Rich, Jeff Jones

Publisher:

Cengage Learning

Financial & Managerial Accounting

Accounting

ISBN:

9781285866307

Author:

Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:

Cengage Learning

SEE MORE TEXTBOOKS