Other things equal, individuals in high-income tax brackets should have a preference for firms that
retain their earnings rather than pay dividends.
Indicate whether the statement is true or false
TRUE
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When the central bank chooses a policy at one date, which leads people to make decisions based on that policy, which then causes the central bank to choose a different policy at a later date, then there is said to be
A. irrational expectations. B. time inconsistency. C. a liquidity trap. D. an expectations trap.
The Assembling Department of Patchwork, Inc. had 11,000 units in process on December 1 and received 30,400 units from the Sewing Department. During the month, it completed 20,700 units and transferred them to the Packaging Department. Calculate the number of units accounted for by the Assembling Department for December. The company uses the FIFO method.
A) 20,700 units B) 41,400 units C) 11,000 units D) 30,400 units
Chase Co owned 30,000 common shares of Sanborn Corporation purchased in 2008 for $540,000 . On September 20, 2014, Chase declared a property dividend of 1 share of Sanborn for every 5 shares of Chase stock held by a stockholder. On that date, there were 50,000 common shares of Chase outstanding, and the market value of Sanborn shares was $30 per share. The entry to record the declaration of the
property dividend would include a debit to Retained Earnings of a. $0. b. $300,000. c. $360,000. d. $540,000.
The founders of Richardson Corporate pride themselves on their commitment to a stewardship of the environment, displaying a photo montage in the lobby that displays before-and-after pictures of the site where the headquarters complex is built-from an ugly landfill into a parkland. As a reflection of the company's culture, the photo montage represents a
A. scenario. B. legend. C. myth. D. mission statement. E. visible artifact.