Why is the book value of equipment irrelevant when considering the replacement of equipment?
Book value of the equipment is irrelevant in the decision because it is based on historical costs that cannot be changed.
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The ________ can be used when the challenger spots areas where the opponent is underperforming
A) encirclement attack B) frontal attack C) flank-geographic attack D) backwards-flank attack E) guerilla warfare
Joshua owns 100% of Steeler Corporation's stock. Joshua's basis in the stock is $8,000. Steeler Corporation has E&P of $40,000. If Steeler Corporation redeems 60% of Joshua's stock for $50,000, Joshua must report dividend income of
A. $50,000. B. $40,000. C. $8,000. D. $0.
Which of the following is/are not true?
a. Callable preferred shares provide the issuer with the right to repurchase preferred shares at a specified price, b. If financing becomes available at a cost lower than the rate fixed for the preferred shares, the issuing firm can reduce its financing costs by issuing new securities and then exercising its option to reacquire the outstanding callable preferred shares at a fixed price. c. The call option is valuable to the issuing firm but makes the shares less attractive to potential owners of the shares. d. Other things equal, a firm will receive a smaller amount from issuing callable preferred shares than from issuing noncallable preferred shares. e. none of the above
Explain some internal control procedures that a fast food restaurant like McDonald's may use to control cash receipts