Assume Meyer Corporation is 100% equity financed. Calculate the return onequity, given the following information:1) Earnings before taxes=$1,5002) Sales=$5,0003) Dividend pay-out ratio=60%4) Total assets turnover=2.05) Applicable tax rate=30%Determine the due date and the amount of interest due at maturity on the following notes:Date of note Face amount Interest Rate Term of Notea.January 640,0009%45 daysb. March 239,0001060 daysc.May 3012,0001290 daysd. August 3018,00010120 dayse.October 110,500860 daysDue Date Interesta. Feb. 20b.May 22c. Aug. 28d.Dec. 28e.Nov. 30The following information is taken from the books of Nicki Incorporated:JulyBeginning inventory $20.161.17SalesGross profitEnding inventoryAugust$15,333.36$115,869.88$94,299.1842.02%$15,333.3642.02%$?If the purchases for August are the same as July, what is the ending inventory onAugust 31?a. $117,033.51b. $52,823.81

Question 2: Determine interest Answer and ExplanationSolution: Date of NoteFace AmountInterest…

Answered: Assume Meyer Corporation is 100% equity…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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On October 1, Year 1 Hernandez Company loaned $60,000 cash to Acosta Company. The one-year note carried a 6% rate of interest. Which of the following shows how the December 31, Year 1 recognition of accrued interest will affect Hernandez's financial statements? Assets A. 900 B. 900 C. 2,700 D. 2,700 Balance Sheet Liabilities + ΝΑ ΝΑ ΝΑ ΝΑ Multiple Choice Option A Option C Option D Option B Stockholders' Equity 900 900 2,700 2,700 Income Statement Revenue Expense = 900 ΝΑ 900 2,700 ΝΑ ΝΑ 2,700 ΝΑ Net Income 900 900 2,700 2,700 Statement of Cash Flows 900 IA ΝΑ 2,700 IA ΝΑ
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