Stock splits must be recorded in the general journal because they affect stockholders' equity
Indicate whether the statement is true or false
F
You might also like to view...
Answer the following statements true (T) or false (F)
1.Women are more likely to describe themselves as being empathic than are men. 2.By questioning and paraphrasing, you check your perception and ensure that you accurately comprehend how the person feels. 3.Listeners who don’t care about those they interact with often engage in pseudo-listening. 4.Apprehensive listeners are fearful, psychologically adjusting themselves to messages that others send to them. 5.Men and women listen for different reasons. Men hear a message’s emotional content while women hear the facts.
In a standard cost system, the manufacturing overhead allocated to production equals the standard overhead allocation rate multiplied by the standard quantity of the allocation base allowed for expected output
Indicate whether the statement is true or false
When preparing responsibility reports, an accountant should remember that the utility of information tends to decrease with the length of time required to prepare and disseminate the information.
Answer the following statement true (T) or false (F)
Cabot Corp has a debt ratio (debt to assets) of 60%. Management is wondering if its current capital structure is too conservative
Cabot Corp's present EBIT is $4.5 million, and profits available to common shareholders are $2,791,800, with 384,000 shares of common stock outstanding. If the firm were to instead have a debt ratio of 80%, additional interest expense would cause profits available to stockholders to decline to $2,732,400, but only 307,200 common shares would be outstanding. What is the difference in EPS at a debt ratio of 80% versus 60%? A) $$1.62 B) $1.33 C) $7.27 D) $-0.15