What is the impact of decrease in assets or increase in liabilities resulting in decreases in equity, other than distributions to equity holders on the profit of the company?

Q: Which element of financial performance decreases in economic benefits during the accounting period…

A: Accounting equations are on the basis of the dual aspect concept of accounting. It means that every…

Q: Assume that each of the following changes is independent (i.e., except for this change, all other…

A: The earning for the shareholders is an important element that induces them to invest the capital in…

Q: 5 _______are decreases in economic benefits during the accounting period in the form of outflows or…

A: Expenses are decreases in economic benefits during the accounting period in the form of outflows or…

Q: One of the following decisions is not taken to increase the stock price: Select one: a. Maximize…

A: The Following decision will increase the stock price: Maximize the income or profit from the income…

Q: Which of the following regarding retained earnings is false?a. Retained earnings is increased by net…

A: Answer:   Option c

Q: Which of the following best describes the possible result of treasury share transactions?    a. May…

A: The treasury shares are the shares which are repurchased by company from its own shares.

Q: Which of the following can lead to an increase in the net working capital of a firm?   A. A…

A: Net working capital  = Current Assets - Current Liabilities

Q: s it true of false that stock sold for amounts in excess of par value results in a gain reported on…

A: A company issues its common stock at par value or at an amount more than the par value. The amount…

Q: A business can be valued by capitalizing its earnings stream. Does one measure make more sense than…

A: Hello. Since you have posted multiple questions and not specified which question needs to be solved,…

Q: 1. which of the following transactions and events would result in a deterioration in EBIT Profit…

A: Solution Note : Dear student as per the Q&A guideline we are required to answer the first…

Q: A company has been using the fair-value method to account for its investment. The company now has…

A: A company is using fair value method to account for its investment. Now due to exercise of…

Q: Which of the following is not popular in the present business scenario? O a. None of the options O…

A: Business can be defined as the organization or entity  that is engaged in commercial, professional,…

Q: in how the Du Pont system of analysis breaks down return on assets. Also explain how it breaks down…

A: Du Pont system is very important concept in calculation the return on equity and it is very…

Q: Which of the following will reduce Retained Earnings? a. Declaration of a stock dividend b. Payment…

A: Retained earnings refer to the part of net income that is left over after paying all the expenses.…

Q: Financial analysis considers the profitability, liabilities and other financial capacities of a…

A: Financial analysis of a company certainly looks into the profitability, debt levels and other key…

Q: For each action on the right, indicate the effect on Retained earnings (inc4ease, decrease, or no…

A: Retained earnings means earnings accumulated for the shareholders of the company. All net income…

Q: If the revenues are correctly reported and the gross profit of a company is understated, what is the…

A: There would be effect on the retained earnings on stockholders' equity if the gross profit is not…

Q: oose the letter of the correct answer   2. When the cost model/method is used to account for an…

A: the cost method counting investment mended that investor account for the investment at historical…

Q: What would be a reason a company would want to overstate income?A. to help nudge its stock price…

A: Income of the business is very important and useful measure of profitability of the business. More…

Q: Can you identify a possible explanation for the company’s declining profits? If so, what is it?

A: Company's declining profits can be possible due to overhead expenses.  Overhead costs are the…

Q: Which one of the following will increase shareholders' equity, all else held constant?    Select…

A: Shareholders/ Owner’s equity: The shareholders are the owners of the company and the shareholders…

Q: If the cost of borrowing is lower than the operating return .. business by increasing borrowing in…

A: The business is financed by equity as well as debt. The ROE is increased if the company has started…

Q: Respond to Jerry’s criticism that shareholders’ equity does not represent the marketvalue of the…

A: Balance sheet: This financial statement reports a company’s resources (assets) and claims of…

Q: What is the effect of purchasing treasury stock on a company’s earnings per share and return on…

A: Treasury stock refers to those shares which are repurchased from the existing shares , so this…

Q: Which of the following statements about stockholders' equity is not correct? Group of answer choices…

A: The stockholders equity is represented in the balance sheet of the business.

Q: The statement of changes in financial position was designed to enable financial statement a) Where…

A:

Q: hat does it mean when a company has zero net income but its stock price has increased? How do you…

A: Equity method: The equity method is used to record the profit earned by a company by investing in…

Q: Which of the following statements is not true? a) The return on shareholders’ funds can be…

A:

Q: Firm A reports an increase in earnings per share; Firm B reports a decrease in earnings per share.…

A:

Q: Firm A reports an increase in earnings per share; Firm B reports a decrease in earnings per share.…

A: Earnings per share refers to the allocation of total profits earned by a company to each common…

Q: _are decreases in economic benefits during the accounting period in the form of outflows or…

A: The right answer is option b. Expenses

Q: Why does the equity method record dividends from an investee as a reduction in the investment…

A: The carrying amount or the book value of the investment is reduced in order to record the dividend…

Q: The quality of earnings concept indicates thata. stockholders want the corporation to earn enough…

A: Quality of Earning: Quality of earning refers to the quality of the earning capacity of an…

Q: choose the right answer In order to find out the value of the closing stock during the end of the…

A: 1) Correct option is 'do this by stocktaking' Reason :- Closing inventory value can be calculated by…

Q: How a firm splits its income between retained earnings and dividends does not affects its rate of…

A: Income is the revenue earned by the company after the charge of all the associated expenses. A…

Q: Which of the following does not decrease retained earnings? Select one: a. Stock dividends b. Cash…

A: In this question has covered the concept of Retained Earnings

Q: The market-to-book ratio is the ratio of a firm that reports negative retained earnings on its…

A: The market-to-book ratio is also called as Price-to-Book ratio. This ratio is determined to…

Q: Which of the following statements is true? O A. The DuPont Identity is used to calculate Return on…

A: Ratio analysis is a useful technique for comparing the relationship or the ratio between multiple…

Q: On Introduction to financial management Statement I: Profit maximization is a short-term goal. It…

A: Financial management included activities related to planning, organizing, and monitoring the…

Q: What would be the impact on the accounting equation when a company acquires treasury stock?…

A: Accounting equation: Accounting equation is an accounting tool expressed in the form of the…

Q: 6 ________________are decreases in economic benefits during the accounting period in the form of…

A: Expenses are those expenditures in business which decreases the assets in business also they can…