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IrinaK
6 days ago
7

Carter is a stockholder in ExtremeTrax, Inc., a C corporation that designs and manufactures amusement park roller coasters. The

company recently lost a major court decision and is being forced into bankruptcy. In fact, the damages being awarded are so large that, even if all company assets are sold and the proceeds are used to pay its debts, ExtremeTrax is likely to still owe money to its creditors. If ExtremeTrax goes bankrupt, Carter and the other stockholders will
Business
1 answer:
Mariulka [3.4K]6 days ago
3 0

Carter and the other shareholders will lose their investment and shares if Extreme Trax goes bankrupt.

Clarification:

In the event of a company's bankruptcy, creditors are paid first. Stockholders possess shares in the company, thus they assume the highest risk. If there's no remaining funds after creditor payments, stockholders will forfeit their investments.

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This is the story of Goodies Gift Shop in its third year of operation in Small Town USA. Amelia Goodies, the owner, runs the sho
Free_Kalibri [3484]

Answer:

1. The return on investment is 20%

2. The total is $40,000

Explanation:

1. The formula for Return on Investment is defined as Net income from the Investment divided by the investment amount.

The net income mentioned in the question is the after-tax profit of $20,000.

The total amount Amelia invested in Goodies Gift Shop is reflected as owner's equity at $100,000 in the balance sheet for Year 2.

Using the formula: Return on Investment = 20,000/100,000 = 20%

2. We can calculate the projected pre-tax profit as follows: Projected margin minus total overhead = 250K - 200K = $50,000

Thus, the after-tax profit is computed as pre-tax profit multiplied by (1 minus tax rate) = 50K x (1-20%) = $40,000

3 0
1 month ago
Harry and Meghan have considered starting their own business but are concerned about the possibility of losing even their person
stepan [3267]

Response:

La opción correcta es D, formar una corporación.

Justificación:

Elegí esta respuesta porque la responsabilidad limitada se aplica a una corporación, que se diferencia de otros tipos de negocios.

El concepto de responsabilidad limitada significa que los accionistas en una compañía de responsabilidad limitada solo son responsables hasta el monto que han aportado a través de las acciones que poseen.

Si la empresa incurre en deudas, no se les pedirá a los accionistas que cubran estas deudas con su propio dinero, lo que protege los bienes personales de Harry y Meghan.

4 0
1 month ago
I sell pants that have $5 in variable costs (direct materials and labor). I have $100,000 in fixed costs, and I expect to sell 1
Free_Kalibri [3484]

Answer:

Markup(%) = 216.67%

Explanation:

Markup indicates the profit earned expressed as a percentage of the cost.

Markup = Profit / cost × 100

The cost consists of direct material costs, direct labor costs, and fixed costs.

Cost per unit = 5 + (100,000/10,000)

                     = 15 per unit.

The total cost for a pair is = 2 × 15 = 30.

<pthe profit="" for="" each="" pair="95">$65

Markup(%) =  $65 / 30 × 100 = 216.67%

</pthe>
8 0
1 month ago
Read 2 more answers
Why can the big candy makers produce candy that is less expensive per price?
Katen [3220]
Since many individuals purchase their items, they can generate enough revenue to remain profitable, even while offering lower prices.
8 0
20 days ago
When joan got transferred to a new city, she went there ahead of the rest of her family and independently shopped for and purcha
Mariulka [3472]
Joan's choice can be characterized as a "heuristic decision."
8 0
24 days ago
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