A 10-year maturity bond with par value of $1,000 makes annual coupon payments at a coupon rate of 12%. Find the bond equivalent and effective annual yield to maturity of the bond for the following bond prices. (Round your answers to 2 decimal places.)a. Find the bond equivalent and effective annual yield to maturity of the bond if the bond price is $940. Bond equivalent yield to maturity %
Effective annual yield to maturity % b. Find the bond equivalent and effective annual yield to maturity of the bond if the bond price is $1,000. Bond equivalent yield to maturity %
Effective annual yield to maturity % c. Find the bond equivalent and effective annual yield to maturity of the bond if the bond price is $1,040. Bond equivalent yield to maturity %
Effective annual yield to maturity %

Answer:

0.50 per vehicle

Explanation:

Given:

Number of years = 3

Number of vehicles per year = 20 million

Amount required = 25 million

Interest rate = 10% = 0.10

Therefore,

Cost of borrowing = Amount required × Interest rate

                               = 25 million × 0.1

                               = 2.5 million

Total Toll Booths Replacement Cost =  Amount required + Cost of borrowing

                                                             = 25 million + 2.5 million

                                                             = 27.5 million.

Amount to Charge Per Year = Total Toll Booths Replacement Cost ÷ Number of Years

Lump Sum Amount to Charge Per Year = 27.5 million ÷ 3

                                                                  = 9.17 million

Yearly toll per vehicle = Lump Sum Amount to Charge Per Year ÷ Number of Vehicles per year

Yearly toll per vehicle = 9.17 million ÷ 20 million

                                     = 0.46 approximately 0.50

Therefore, the toll should be 0.50 per vehicle.

I wish you the best.

To cover the cost of the toll booth replacement project, the toll per vehicle should be approximately $0.9385.

To calculate the toll per vehicle, we need to find the present value of the future cost of replacing the toll booths. Using the formula for present value, we can calculate the amount.

PV = FV / (1 + r)^n

Where PV is the present value, FV is the future value, r is the interest rate, and n is the number of years. Plugging in the values, we have:

PV = 25 million / (1 + 0.10)^3

PV = 25 million / 1.331

PV ≈ 18.77 million

Now, we divide the present value by the estimated number of vehicles per year to find the toll per vehicle:

Toll per vehicle ≈ 18.77 million / 20 million

Toll per vehicle ≈ $0.9385

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Answer:

Present value calculator calculates the PV of a single amount. ... of illustration, you would rather receive $10,000 today rather than wait a year. ... This rate-of-return calculator solves for the ROR for one invested amount. ... Enter the calculated present value, the discount rate as the annual interest rate ... advertisement 2 short.

Explanation:

Answer:

a. $1,147.20

Explanation:

Simple interest means the same amount will be paid as interest per year.

We will use the following formula to solve for Olivia's interest after 7 years.

Interest = principal* interest rate* time

Principal= $800

Interest rate= 6.2%

Time= 7 years

Interest= 800* 0.062* 7

Interest= $347.20

So the total money owed to Olivia is = 800+ 347.20= $1,147.20

Answer:

d. Elastic

Explanation:

Elasticity (by midpoint formula) = (Q2-Q1) / [(Q2+Q1)/2]

                                                        (P2-P1) / [(P2+P1)/2]

Cell Phone : P1 = 25 ; P2 = 10000 ;  P2 = 30 ; Q2 = 5000

Putting in the above formula : Elasticity =

                               =    (5000-10000) [(5000+10000)/2]  

                                            (30-25) / [(30+25)/2]

                                                              = 5000/7500

                                                                 5/27.5

                                                               = 0.66/ 0.18

                                                               = 3.66

Since the Elasticity = 3.66 i.e > 1 , The demand for cell phone is elastic.

The cell phone case described in the question exhibits elastic demand.

The cell phone case described in the question exhibits elastic demand. Elastic demand occurs when the percentage change in quantity demanded is greater than the percentage change in price. To calculate the price elasticity of demand using the midpoint method, we can use the formula:

Price Elasticity of Demand = (Change in Quantity Demanded / Average Quantity Demanded) / (Change in Price / Average Price).

In this case, the percentage change in quantity demanded is

(5,000 - 10,000) / [(5,000 + 10,000) / 2] = -50%,

and the percentage change in price is

($30 - $25) / [($30 + $25) / 2] = 20%.

Therefore, the price elasticity of demand is -50% / 20% = -2.5. Since the absolute value of the price elasticity of demand is greater than 1, the cell phone case is elastic.

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Answer:

Conversion costs: c.$390,500

Explanation:

Conversion costs are those production costs required to convert raw material to finished goods. Conversion costs include direct labor and manufacturing overheads costs.

Conversion Costs = Direct Labor cost + Manufacturing Overheads cost= Total Manufacturing Costs – Direct Material cost

With direct labor cost of $196,500; factory overhead cost of $194,000.

Conversion Costs = $196,500 + $194,000 = $390,500

Final answer:

Conversion costs are the sum of direct labor and factory overhead. For the provided data, direct labor is $196,500, and factory overhead is $194,000, so the total conversion cost is $390,500.

Explanation:

Conversion costs are calculated as the sum of direct labor and factory overhead costs. Given the data: direct materials at $381,400, direct labor at $196,500, factory overhead at $194,000, and selling expenses at $41,200, we need to compute the total of direct labor and factory overhead.

The calculation would be as follows:

Adding these two components will give us the conversion cost:

Conversion Costs = Direct Labor ($196,500) + Factory Overhead ($194,000) = $390,500.

Therefore, the correct option is c. $390,500.

Answer:

An automobile manufacturer having 7 assembly plants and hundreds of dealers throughout the United States can find the guaranteed optimal transportation plan (assuming linear transportation costs and known demands and capacities) by using either linear programming model or transportation model.

Explanation:

Linear programming addresses issues such as profit maximization, cost minimization or maintaining that we make the greatest use of existing resources. From an implementation perspective, linear programming is an optimization tool that permits many administrative and/or technological decisions to be interpreted.

Throughout World War II the seeds of linear programming were sown when it was necessary to quickly transfer the military supplies and staff. While the transport model discusses the principle of unchanged transferring an item from one position to another. This implies that any disruption on the way has negative effects, and so it is used to evaluate transport networks and seek the most efficient method to allocating resources.

Answer:

The correct answer is letter "B": Employee satisfaction.

Explanation:

Employee satisfaction refers to the level of joy workers have at work with the current activities they perform. Companies tend to provide additional benefits to employees to increase their engagement with the firm which is believed to boost their efficiency, thus, the company's effectiveness.

Answer:

Correct Answer is Irrelevant contracts

Explanation:

Unenforceable contracts become inapplicable by law due to some technical aspects. The contract cannot be executed against either party.

For example, A agrees to sell 100kgs of rice for B for 10,000 / -. But there was a great flood in the states and all rice crops were destroyed. Now, this contract cannot be enforced and cannot be enforced against any of the parties.

A void contract is an agreement that does not meet the tests for validity, making it completely invalid as a contract.

An agreement that does not meet the tests for validity and is not considered a contract at all is called a void contract.

A void contract is one that is null and invalid from the beginning, meaning it lacks the essential elements required for a valid contract. This may include situations where the agreement is illegal, against public policy, or involves parties lacking the legal capacity to enter into a contract.

For example, if two minors enter into a contract, it would be considered void because minors generally do not have the legal capacity to enter into binding contracts.

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Explanation:

The demand curve for chocolate ice cream : shifts to the left

The supply curve for chocolate ice cream : does not shift

The equilibrium price of chocolate ice cream : decreases

The equilibrium quantity of ice cream : decreases

The law of supply and demand is a principle of the economy which explains the ties between supply and demand and how this relationship affects goods and services ' prices. The idea of supply surpassing demand for a product or service means costs are central to economic policy. Prices tend to rise as demand exceeds supply.

Answer:

The correct answer is: market oriented.

Explanation:

Market-oriented institutions are those that pursue the satisfaction of consumers more than reaching a profit goal for the company. This position is also taken by companies when the firm is looking for expansion through the implementation of new products or services. Every piece of information provided by consumers are considered vital in this stage.

Answer:

C. $17,500

Explanation:

1,300 / 200 = 6.5

we are going to hire between 6 and 7 welder as we are given the requirement "for every 200 hours or fewer in a month" we should round above and not below: 7 welder. Besides, we cannot hire "half" or "quarter" of an employee therefore we have to move between integer solutions.

Given 1,300 machine-hours and the fact that one welder is needed for each 200 machine-hours, there is a need for 7 welders. Since each welder earns $2,500 monthly, the total salaried employee expense amounts to $17,500.

To calculate the total salaried employee expense in this scenario, we first have to determine the number of welders required. Since one welder is needed for each 200 machine-hours, and the total requirement is 1,300 machine-hours, we can divide 1,300 by 200 to find out the number of welders needed, which equals to 6.5. However, we can't have half a welder, so we need to round up to the nearest whole number, which is 7. Each welder is paid a salary of $2,500 per month, so to find the total salary expense, we multiply 7 by $2,500, which equals $17,500. Thus, the total salaried employee expense is $17,500.

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Answer:

Short-term bonds have greater interest rate risk than do long-term bonds.

Explanation:Short-term bonds are bonds whose period before maturing is short,it will mature between one to four years,the shorter the term of the bond the lesser the risk. High risk is expected for long term bonds especially for an inconsistent economy. Most investors are very interested in short term bonds because they usually mature in short term,they can take back their money and reinvest helping to increase their total revenue on the long term.

Long-term bonds have a higher interest rate risk than do short-term bonds because they have more time until maturity and are therefore more affected by changes in interest rates.

The correct statement is: 'Long-term bonds have greater interest rate risk than do short-term bonds'. Interest rate risk refers to the potential for investment losses that result from a change in interest rates. If interest rates rise, the price of a bond will decrease. This is because the bond's fixed interest payments are less attractive compared to the higher interest payments offered on new bonds. Long-term bonds are more affected by interest rate changes because they have a longer time until maturity. Hence, the interest rate risk of long-term bonds is higher than that of short-term bonds.

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Answer:

Capitalize as an asset.

Explanation:

Answer:

The correct answer is: Capitalize as an asset.

Explanation:

Capitalize is an accounting term that describes a company's method of measuring the expense of the assets recorded. Many businesses have procedures on how and when to report purchases and costs as assets or expenses. These are listed on the Balance Sheet as an asset and depreciated as expenses are capitalized. Capitalized expenses make their way to the Income Statement by depreciation.

Thus, the purchases and costs of in-process research and development is capitalized as an asset.

Answer:

$130,040

Explanation:

The cash flow using the indirect method has 3 groups of activities namely; operating, investing and financing.

Given the following activities;

Paid $133500 for salaries, Paid $55200 to purchase office equipment, Paid $15100 for utilities, Paid $5600 in dividends. Collected $279000 from customers,

The operating activities are Paid $133500 for salaries, Paid $15100 for utilities and Collected $279000 from customers,

Thus,

Blue's net cash provided by operating activities = -$133500 - $15100 + $279000

= $130,040

Answer:

Regional Products

Explanation:

According to the UCC where place of delivery is not specified in a transaction, the place of delivery of the goods will be at the seller's place of business.

This will help with inspection, where the buyer has an opportunity to inspect the goods and either accept or reject before transportation cost is incurred.

Answer:

TRUE

Explanation:

The Standard Employee Selection Regulations refer to all selection process used to take employment choices, including interviews, analysis of qualifications from job application forms, task experiences, physical requirements, and performance evaluations.

It does not represent any information about dismissal, reallocate or reduction in rank of employees.

Answer:

$1,800,000

Explanation:

The computation of the net working capital is shown below:

Net working capital = Current assets - current liabilities

where,

Current assets = Cash and marketable securities + Accounts receivable + Inventory

= $400,000 + $1,200,000 + $2,100,000

= $3,700,000

And, the current liabilities = accrued wages and taxes + Account payable + notes payable

= $500,000 + $800,000 + $600,000

= $1,900,000

So, the net working capital is

= $3,700,000 - $1,900,000

= $1,800,000

The question asks for an analysis of Goodman's Bees Corporation's balance sheet and includes a scenario that calculates a bank's net worth using a T-account balance sheet.

The question regarding Goodman's Bees Corporation involves analyzing a balance sheet, which is a fundamental concept in accounting and finance. A balance sheet displays a company's financial position at a specific point in time, showing its assets, liabilities, and net worth. In preparing a balance sheet, assets like cash, marketable securities, accounts receivable, and inventory are matched against liabilities such as accrued wages, taxes, accounts payable, and notes payable. The difference between the total assets and liabilities represents the company's net worth or equity.

To better understand the impact of liabilities like accounts payable on a cash flow statement, we can refer to the example of Treehouse's increase in accounts payable, which is an accounting practice that effectively represents a 'cash inflow' from operations because it preserves cash for other uses within the business. When analyzing a company's financial statements, the annual report provides essential details, often supplemented with notes that elaborate on the balance sheet items. As for the given T-account scenario for a bank, the calculation of the bank's net worth would involve setting up the balance sheet with the given reserves, government bonds, loans, and deposits.

Answer:

Initial  net worth = $40* 500= $20000

a) Net worth of brokerage account = 44 * 500 = $22000

   Percentage increase in the net worth of your brokerage account=[22000-20000]/20000  * 100= 10%

b) Net worth of brokerage account = 40 * 500 = $20000

   Percentage increase in the net worth of your brokerage account=[20000-20000]/20000  * 100= 0%

c)If XTel's price changes to $36, the net worth of the brokerage account can be calculated as follows:

Net worth of brokerage account = 36 * 500 = $18,000.

Percentage decrease in the net worth of your brokerage account=[18000-20000]/20000  * 100= -10%

Explanation:

He may file Form 1040.

Explanation:

Form 1040 is the IRS standard form which is used by individual taxpayers to file their annual tax reports.

Form 1040 is the IRS tax form used mostly for personal tax returns submitted by US citizens by the federal government. Form 1040 is a form. The method estimates the taxpayer's gross taxable income and specifies how much the government has to pay or repay.

Who can file? If a person passes the Substantial Appearance Test or the Green Card Test, but some cases exist; people who have a taxable earnings in the US, but refuse to meet the obligation to be resident aliens, must register for taxation purposes for non-resident aliens.

Wesley, having a moderate income and a straightforward tax situation, can use the simplest tax form, 1040EZ. However, whether he should file a tax return depends on other specifics of his financial situation.

In the United States, every individual with earned income is required by law to file a tax return. In 2019, Wesley, with moderate wage income and a modest amount of interest income, can utilize the simplest form known as the 1040EZ. This form is designed for taxpayers with straightforward tax situations and is generally used by single or married individuals who do not have dependents, and whose income is less than $100,000. However, the final decision whether to file the tax or not must take into account many other specific details of Wesley's financial picture, such as whether taxes have already been deducted from his paycheck or whether he qualifies for any deductions or credits.

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Answer:

D. supply is said to be inelastic.

Explanation:

When the change in the quantity supplied of any good is less sensitive due to change in the price, then the supply is known as the inelastic and If the quantity supplied responds only slightly to changes in price, then supply is said to be inelastic.

The discount rate used by the potential buyer is approximately 7.5%, as it yields a present value close to the offered price of $9,968,843.

To find the discount rate used by the potential buyer, we can use the present value formula for an annuity:

[tex]\[ PV = Pmt \times \frac{{1 - (1 + r)^{-n}}}{{r}} \][/tex]

Where:

- [tex]\( PV \)[/tex] is the present value of the annuity (the offer price, $9,968,843),

-[tex]\( Pmt \)[/tex]is the annual payment received by Mario ($1,521,875),

- [tex]\( r \)[/tex] is the discount rate (the rate used by the buyer),

- [tex]\( n \)[/tex] is the number of years remaining in the annuity (19 years).

Substituting the given values into the formula:

[tex]\[ 9,968,843 = 1,521,875 \times \frac{{1 - (1 + r)^{-19}}}{{r}} \][/tex]

To find [tex]\( r \)[/tex], we can use trial and error or numerical methods like the Newton-Raphson method. In this case, I'll use trial and error to find an approximate solution:

Let's start by assuming a discount rate of 5%:

[tex]\[ 9,968,843 = 1,521,875 \times \frac{{1 - (1 + 0.05)^{-19}}}{{0.05}} \][/tex]

[tex]\[ 9,968,843 = 1,521,875 \times \frac{{1 - (1.05)^{-19}}}{{0.05}} \][/tex]

[tex]\[ 9,968,843 = 1,521,875 \times \frac{{1 - 0.37689}}{{0.05}} \][/tex]

[tex]\[ 9,968,843 = 1,521,875 \times \frac{{0.62311}}{{0.05}} \][/tex]

[tex]\[ 9,968,843 \approx 18,381,895 \][/tex]

The result is significantly greater than $9,968,843, indicating that the assumed discount rate of 5% is too low. Let's try a higher rate:

Let's try a discount rate of 10%:

[tex]\[ 9,968,843 = 1,521,875 \times \frac{{1 - (1 + 0.10)^{-19}}}{{0.10}} \][/tex]

[tex]\[ 9,968,843 = 1,521,875 \times \frac{{1 - (1.10)^{-19}}}{{0.10}} \][/tex]

[tex]\[ 9,968,843 = 1,521,875 \times \frac{{1 - 0.02830}}{{0.10}} \][/tex]

[tex]\[ 9,968,843 = 1,521,875 \times \frac{{0.97170}}{{0.10}} \][/tex]

[tex]\[ 9,968,843 \approx 14,660,976 \][/tex]

The result is still lower than $9,968,843, indicating that the assumed discount rate of 10% is too high. Let's try an intermediate rate:

Let's try a discount rate of 7.5%:

[tex]\[ 9,968,843 = 1,521,875 \times \frac{{1 - (1 + 0.075)^{-19}}}{{0.075}} \][/tex]

[tex]\[ 9,968,843 = 1,521,875 \times \frac{{1 - (1.075)^{-19}}}{{0.075}} \][/tex]

[tex]\[ 9,968,843 = 1,521,875 \times \frac{{1 - 0.31863}}{{0.075}} \][/tex]

[tex]\[ 9,968,843 = 1,521,875 \times \frac{{0.68137}}{{0.075}} \][/tex]

[tex]\[ 9,968,843 \approx 9,968,843 \][/tex]

The result is approximately $9,968,843, indicating that the assumed discount rate of 7.5% is close to the actual discount rate used by the potential buyer.

So, the discount rate used by the potential buyer is approximately 7.5%.

Answer:

It will return 1,936,000 dollars

from which 336,000 will be interest

Explanation:

We solve using the future value of a lump sum:

[tex]Principal \: (1+ r)^{time} = Future \: Value[/tex]

Principal 1,600,000.00

time 2.00

rate 0.10000

[tex]1600000 \: (1+ 0.1)^{2} = Amount[/tex]

Amount 1,936,000.00

We calculate interst by the different os the amount borrow and the amount returned:

1,936,000 - 1,600,000 = 336,000

Answer:

Unilever is applying its understanding of internal consumer processes by using several points of the psychological core to market its product in order to create valuefrom customers in return. ... It creates a relationship between the customer and the brand.

Explanation:

Unilever knows that throughout the purchase, usage, as well as discarding of goods, customers must follow numerous essential sociological phenomena. A further solution is given below.

Learn more about marketing strategy here:

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Answer:

d.date of payment

Explanation:

At the time of recording the dividend, the dividend should be recorded based on the different dates that involve date of declaration, the date of record, and the date of payment.

The date of declaration is the date at which the dividend is declared

The date of record is the date at which the dividend is recorded

And, the date of payment is the date at which the cash dividends are paid

Answer:

The correct answer is C

Explanation:

Aggregate accounting is the procedure in which the data from all of the households as well as individuals accounts of the production are gathered in one place.

In short, it is described as the way or method of measuring or evaluating the sum or the total of the production. The limitation of this method is that it only measures or determine the activity of the market not the social welfare.

Answer:

Instructions are listed below.

Explanation:

Giving the following information:

Price per 2-scoop sundae $ 5.00

Variable cost per sundae:

Ingredients 1.35

Direct labor 0.45

Overhead 0.20

Total variable cost= $2

Fixed cost per month $ 5,100

1. Determine Izzy’s break-even point in units and sales dollars.

Break-even point (units)= fixed costs/ contribution margin

Break-even point (units)= 5,100/ (5 - 2)= 1,700 units

Break-even point (dollars)= fixed costs/ contribution margin ratio

Break-even point (dollars)= 5,100/ (3/5)=$8,500

2. Determine how many sundaes must be sold to generate a profit of $10,200.

Break-even point (units)= (fixed costs + profit)/ contribution margin

Break-even point (units)= (5,100+ 10,200) / 3= 5,100 units

3. a. Sales price decreases by $0.50.

Break-even point (units)= 5,100/ (4.5 - 2)= 2,040 units

b. Fixed costs decrease by $300 per month.

Break-even point (units)= 4,800/3= 1,600 units

c. Variable costs increase by $0.50 per sundae.

Break-even point (units)= 5,100/ (5 - 2.5)=2,040 units

4. How many sundaes must Izzy sell to generate a profit of $24,000, if sales price increases by $0.50 and variable costs increase by $0.30

Break-even point (units)= (5,100 + 24,000) / (5.5 - 2.3)= 9,094 units

To determine Izzy Ice Cream's break-even point in units and sales dollars, divide the fixed costs by the contribution margin per unit. To generate a profit of $10,200, divide the profit target by the contribution margin per unit and add the fixed costs.

In order to determine Izzy Ice Cream's break-even point in units and sales dollars, you need to calculate the contribution margin per unit. The contribution margin is the difference between the price per sundae and the variable cost per sundae. The break-even point in units can be calculated by dividing the fixed costs by the contribution margin per unit. The break-even point in sales dollars can be calculated by multiplying the break-even point in units by the price per sundae.

To determine how many sundaes must be sold to generate a profit of $10,200, you need to consider the contribution margin per unit and the fixed costs. The profit target can be divided by the contribution margin per unit, and the fixed costs should be added to this value. This will give the total number of units that need to be sold.

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To detect connections between vendors and employees and identify potential fraud, data analysis is required, focusing on attributes such as shared addresses and phone numbers. False positives can occur in fuzzy matches, and evading detection for an employee committing fraud may involve altering transaction records or creating false vendors.

Q1. To show that a vendor is related to an employee, data such as shared addresses, phone numbers, or bank accounts can be analyzed. Attributes to focus on include matching addresses, matching phone numbers, or transactions between the vendor and employee.

Q2. Connections between vendors and employees can be detected by analyzing transactional data, conducting data matching algorithms, or using network analysis techniques.

Q3. If an employee were committing fraud, they may try to evade detection by altering transaction records, creating false vendors, or colluding with other employees to manipulate data.

Q4. To determine the number of vendors with similar addresses to employees, an analysis should be carried out by comparing addresses and identifying matches.

Q5. Street vendor and employee street addresses should be compared for similarities or matches to identify any potential connections or relationships between the two.

Q6. False positives, or fuzzy matches that aren't really matches, could occur if there are common addresses or phone numbers in a certain region or if there are errors in the data being analyzed.

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Answer:

Correct answer is a, there is a contract for the sale of computer with the carrying case

Explanation:

There is a contract between John and Mary to sell the laptop computer with the carrying case. Mary's counter offer to buy the laptop computer if the carrying case is included is indirectly accepted by John by replying "sold". That only means there is a meeting of minds between the two contracting parties  the seller (John) and the buyer who counter offered (Mary) to sell the laptop computer with the carrying case.

Answer:

D) $3

Explanation:

Consumer Surplus refers to the difference between the actual price paid by a consumer and the price the consumer was willing to pay. Surplus arises in cases wherein the price consumer was willing to pay exceeds the price he actually paid.

In the given case, the consumer was willing to pay a total of $9 i.e ($5 + $4) for 2 units of pizza. He actually ended up paying $6 i.e ($3 × 2 slices).

Thus, his total consumer surplus can be calculated as $9 - $6 = $3  

Answer:

Following would be the journal entries and their effect on stockholders equity

1. Issued common stock for cash

Cash A/C                                  Dr.

    To Common Stock

This transaction would increase stockholder's equity as common stock would increase.

2. Received cash for services provided

   Cash A/C                              Dr.

       To Service Revenue

(being cash received against services provided)

  This transaction would increase stockholder's equity as net income would increase

3. Paid business expenses

   Expenses   A/C                            Dr.

       To Cash A/C

(Being expenses paid recorded)

This would reduce stockholder's equity as net income would reduce.

4. Paid Dividends

  Retained Earnings                       Dr.

       To Dividend Payable A/C

(Being declaration of dividend recorded)    

   Dividend Payable A/C                 Dr.

        To Cash A/C

(Being dividends paid recorded)

This would reduce stockholder's equity as reserves and surplus would reduce.

Issuing common stock for cash and providing services for cash increases stockholders' equity, while paying business expenses and dividends decreases it.

The impact of the following transactions on stockholders' equity are:

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