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Is this true or false - Treasury stock transactions never increase retained earnings or net income?

true. Treasury stock never affects Net Income. Treasury stock may decrease Retained earnings but it does not increase it.


Is it true that when the board of directors declares a cash or stock dividend this action decreases retained earnings?

yes it is..


The risk-free rate of return used to determine a firm's cost of capital will not vary depending upon the financial and operating risk level of the firm?

That is NOT true.


If a firm's marginal tax rate is increased this would other things held constant lower the cost of debt used to calculate its WACC True or False?

True. An increase in a firm's marginal tax rate reduces the after-tax cost of debt because interest expenses are tax-deductible. This means that the effective cost of borrowing becomes lower for the firm, which, when calculating the Weighted Average Cost of Capital (WACC), results in a decreased cost of debt, assuming all other factors remain constant.


Colonial governors retained powers and prerogatives that the king no longer had?

True


How true about firm 24k incregistration form?

so true believe me


Which statement about the government that took control after the shah is not true?

"Women retained the rights they had under the shah" is not a true statement.


What is true about how a firm in a competitive market decides what level of output to produce in order to maxmize its profit?

In a competitive market, a firm maximizes its profit by producing the level of output where marginal cost (MC) equals marginal revenue (MR). At this point, the additional revenue generated from selling one more unit is exactly equal to the additional cost incurred in producing that unit. If the price is greater than the average total cost (ATC) at this output level, the firm earns a profit; if it's less, the firm incurs a loss. Therefore, the firm will adjust its output to reach this equilibrium where MC = MR.


Is it true that if a firm is profitable its survival is guaranteed?

No. A lot of things can cause a profitable firm to collapse.


Do you agree or disagree with the following statement when marginal revenue equals marginal cost total cost equals total revenue and the firm makes zero profit?

No it is not true. MC=MR it's "only" the condition of optimization of the firm. This is the condition under which the firm chooses the best quantity to produce given its cost structure. Under this condition you are sure that given that structure the firm maximizes its profits. But this does not implies that the firm is actually making profits(f.e. it could miximize its profits simply making a loss of -21 instead of -22). To be sure of that you have to consider the total cost function. The total cost function is defined as: TC=qxVC+FC than you have to consider the revenue function TR=qxP to see if the firm it's actually making profits you have to calculate TR-TC=Profit note that you can't find the total cost function by the marginal cost function. q=quantity VC=variable cost FC=fixed costs P=price of item sold


True or false The repayment of a loan reduces the borrowing companys retained earning?

Yes


What is the position of supernormal profits for a firm that is a monopoly?

true