DPS
user-21492 - 11/20/2019, 5:33 pm
How does the bonds increase the NI amount to be used in calculating DPS? NI - Preferred Stock Distr +back the bond div - Tax savings on bonds div /# of CS shares + convertible shares 400k - 40k +40k - 8k / 100k + 20k
1
Basic EPS
user-21492 - 11/19/2019, 5:55 pm
Q#2 - Does the Cash dividends \$80 that were paid on common stock impact the calculation of EPS?? I left it alone & came up with the correct answer. But I was wondering what impact does it have at all?
1
U
conditional probability
user-22412 - 11/18/2019, 4:39 pm
ABC legal service has offered to represent a plaintiff in a lawsuit for a retainer of \$ 20000 plus 40 % of any award over \$ 20000.ABC expects to incur out of the pocket expense of \$ 15000 in litigating the suit. Possible court award with their associated probabilities are; \$ 100000 - .7 \$ 0 - .3 what is the expected value to ABC of the law suit
2
U
Interest Rate
user-21423 - 11/16/2019, 6:11 pm
Why are we using 6% interest rate with the problem states the lessors' implicit rate is 10% and is know by Hermione?
1
U
large v. small stock dividend
user-22119 - 11/15/2019, 5:19 am
Isn't this a small stock dividend at 9000 shares? Wouldn't market value be used?
1
Deciding Exam Order
Nate - 11/12/2019, 10:31 pm
What are the main considerations and factors when deciding which order take the (4) CPA exams?
4
Lease Accounting (Operating Lease) Je
Andrew-9284 - 11/9/2019, 4:34 am
Hi I am currently studying lease accounting and I came across a problem with the last year of the lease term for the operating Lease Assuming that : 1. The Lease Period is 5 years beginning January 2019 2. Rental Amount : 60,000/year payable annually except for the first payment which was made at the inception of the lease 3. No Residual Life Interest Rate (r) : 10% Present Value of the Lease 250,192 The Journal Entries were as following: 2019.1.1 Right of Use Asset 250,192 / Lease Payable 250,192 Lease Payable 60,000 / Cash 60,000 2019.12.31 Interest Expense 19,019 Lease Payable 40,981 /Cash 60,000 Amortization Expense 40,981 /Right of Use Asset 40,981 2020 12.31 Interest Expense 14,921 Lease Payable 45,079 /Cash 60,000 Amortization Expense 45,079 /Right of Use Asset 45,079 2021 12.31 Interest Expense 10,413 Lease Payable 49,587 / Cash 60,000 Amortization Expense 49,587 /Right of Use Asset 49,587 2022 12.31 Interest Expense 5454.5 Lease Payable 54545.5 /Cash 60,000 Amortization Expense 54545.5 /Right of Use Asset 54545.5 Question : At the last year (2023), should the journal entry be Amortization Expense 60,000 /Right of Use Asset 60,000 To take into account of the amortization expense that was not accounted for in the first year?
1
YR1 Bond Discount JE
user-21492 - 11/6/2019, 1:49 pm
Whats the Journal Entry for Year ONE?? Dr Interest Exp \$7360 Cr Cash \$7000 Cr ????? \$360
1
A
Section 179 Deduction allowed
Amina-54111 - 11/3/2019, 12:28 am
The answer states that her available 179 deduction is \$9,000, however, it is indicated as being an incorrect answer. The answer further states that only the portion of the new property's basis paid by cash (\$10,000) qualifies for the 179 deduction (which is similar to question 24). Why is the \$9,000, which represents that business use portion incorrect?
1