Garcia Corporation purchased 22,000 shares of Lee Corporation common stock for $80 per share on January 1, 2014. Lee reported net income of $140,000 for 2014 and paid dividends of $90,000 during 2014. As of December 31, 2014, the market value of Lee Corporation common stock was $78 per share. Assuming the shares owned by Orlov represent 10 percent of the total outstanding stock of Lee, the
year-end adjustment entry in Garcia Corporation's books is:
A) Cash 44,000 Dividend Income 44,000
B) Cash 44,000 Long-Term Investments 44,000
C) Unrealized Loss on Long-Term Investments 44,000 Allowance to Adjust Long-Term Investments to Market 44,000
D) Loss on Long-Term Investments 44,000 Allowance to Adjust Long-Term Investments to Market 44,000
C
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A pronoun must agree in number with its antecedent. Explain this rule and provide several examples
A company hired a file clerk, but did not inquire into his criminal history. In fact, he has had several convictions for driving while intoxicated. On a lunch break, he got drunk and assaulted a waitress at a nearby restaurant. If the waitress sues the employer, a court would most likely decide that:
a. the employer is liable under respondeat superior for the harmful act of the employee because it occurred during the workday b. the employer is liable for negligent hiring because the employer had an obligation to check his criminal background, it did not do so, and this led to him harming another person c. the employer is not liable for negligent hiring because the employee did not assault the waitress on company property d. the employer is not liable for negligent hiring because the job does not subject people to risk, and the evidence of unfitness was not related to the job e. none of the above
Both a manufacturers' agent and an industrial distributor may be used when the organizational marketer wishes to cover a larger geographic area but does not maintain a sales force.
Answer the following statement true (T) or false (F)
A bank offers a home buyer a 20-year loan at 8% per year. If the home buyer borrows $130,000 from the bank, how much must be repaid every year?
A) $15,888.95 B) $18,537.11 C) $21,185.26 D) $13,240.79