Loose-leaf For Auditing & Assurance Services: A Systematic Approach
Loose-leaf For Auditing & Assurance Services: A Systematic Approach
11th Edition
ISBN: 9781260687637
Author: William F Messier Jr, Steven M Glover Associate Professor, Douglas F Prawitt Associate Professor
Publisher: McGraw-Hill Education
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Chapter 15, Problem 15.16MCQ
To determine

Concept Introduction:

Every company who issue shares to public or directors cannot issue shares more than authorized capital. Authorized capital is the capital stock can be issued by company in his lifetime amended time to time. Authorized capital described in articles of incorporation of company.

To choose: The correct statement concerning the primary responsibility of registrar

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The Short-Line Railroad is considering a $140,000 investment in either of two companies. The cash flows are as follows:  Year                     Electric Co.                  Water Works 1..................          $85,000                         $30,0002..................           25,000                            25,0003..................           30,000                            85,0004–10 ............          10,000                            10,000a. Using the payback method, what will the decision be?  b. Using the Net Present Value method, which is the better project? The discount rate is 10%.
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