Capital appreciation refers to an increase in the selling price of your shares of stock

Indicate whether this statement is true or false.


Answer: TRUE

Business

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A company had average total assets of $970,000. Its gross sales were $1,114,000 and its net sales were $925,000. The company's total asset turnover equals:

A. 1.05. B. 0.87. C. 0.95. D. 1.20. E. 1.10.

Business

If we are tracking quality of performance for a class of students, we should plot the individual grades on an x-bar chart, and the pass/fail result on a p-chart

Indicate whether the statement is true or false

Business

Capital gain is the portion of the sale price that is in excess of the initial purchase price

Indicate whether the statement is true or false

Business

A corporation has decided to replace an existing asset with a newer model. Two years ago, the existing asset originally cost $30,000 and was being depreciated under MACRS using a five-year recovery period. The existing asset can be sold for $25,000

The new asset will cost $75,000 and will also be depreciated under MACRS using a five-year recovery period. If the assumed tax rate is 40 percent on ordinary income and capital gains, the initial investment is ________. A) $42,000 B) $52,440 C) $54,240 D) $50,000

Business