Any significant capital expenditure or project requires a lengthy, and expensive, cost benefit analysis.
Answer the following statement true (T) or false (F)
False
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TKE Corporation established a defined benefit pension plan in 2016. TKE has provided the following information for the year ended December 31, 2018: Service cost$90,000 Interest cost$120,000 Actual return on plan assets$70,000 Expected return on plan assets$80,000 Amortization of prior service costs$30,000 If the company contributes $130,000 cash to the pension plan trustee, which one of the following journal entries properly records the payment?
A.
| DR Pension expense | 120,000 | ? |
| DR Pension asset | 10,000 | ? |
| CR Cash | ? | 130,000 |
B.
| DR Pension expense | 130,000 | ? |
| CR Cash | ? | 130,000 |
C.
| DR Pension expense | 160,000 | ? |
| CR Cash | ? | 130,000 |
| CR Pension asset (liability) | ? | 30,000 |
D.
| DR Pension expense | 90,000 | ? |
| DR Pension asset (liability) | 40,000 | ? |
| CR Cash | ? | 130,000 |
Among the methods for system development, _____ is clearly the best option for many small companies.
A. software on demand B. in- house developemnt C. purchasing software D. outsourcing
To calculate the amount of net income assignable to common shareholders' equity, the analyst does not
a. subtract all amounts required to compensate other providers of financing for the use of their funds. b. make any further adjustment for interest. c. subtract from net income any earnings allocable to preferred stock equity usually the dividends on preferred stock declared during the period. d. subtract dividends on common stock. e. none of the above
The marginal cost of capital (MCC) is the cost of the last dollar of new capital that the firm raises, and the marginal cost declines as more and more of a specific type of capital is raised during a given period.
Answer the following statement true (T) or false (F)