BUSINESS COLLEGE

An individual shareholder owns 3,000 shares of Baxter Corporation common stock with a basis of $10 per share. She receives a nontaxable 5% stock dividend. The basis per share of the common stock after the stock dividend isA.$9.00.B.$10.00.C.$9.52.D.$9.50.

Answers

Answer 1

Answer:

Answer:

C.$9.52

Explanation:

Existing shares of individual shareholder = 3,000

Stock dividend received = 5%

Number of shares received in stock dividend = Existing shares of individual shareholder x Stock dividend received

= 3,000 x 5%

= 150

Number of shares after stock dividend = 3,000 + 150

= 3,150

The shareholder has basis of $10 per share before stock dividend,

total basis before stock dividend = 3,000 x 10

= $30,000

Total basis will remain same after stock dividend.

Basis per share after stock dividend = Total basis before stock dividend/Number of shares after stock dividend

= 30,000/3,150

= $9.52

Therefore, The basis per share of the common stock after the stock dividend is %9.52

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If a purchasing agent must put up a cash deposit for construction services, for security purposes, instead of giving it directly to the contractor, he or she may insist that it be placed in a(n):

Answers

Answer:

Escrow account

Explanation:

An escrow account is a type of account in which a third party helds a certain amount of money while two parties complete a transaction. This is used to protect people from fraud when they are involve in transactions like purchasing a house as both parties can trust that the money is safe and the third party only provides the funds when they agree with everything and are happy with the results.

According to this, the answer is that if a purchasing agent must put up a cash deposit for construction services, for security purposes, instead of giving it directly to the contractor, he or she may insist that it be placed in an escrow account because the money would be safe and it would be maintained by a third party that will provide the funds when the services are complete.

In an attempt to obtain listings, a broker visits sellers in a particular neighborhood and tells them that property values will soon decline due to a recent influx of minority home buyers. This tactic is _________.

Answers

Answer:

The correct answer is letter "D": illegal.

Explanation:

Blockbusting is the illegal practice by which real estate brokers spread the word among homeowners of a given area that the price of their properties is undervalued because of any false reason made up by the broker in an attempt of having owners to sell their houses so the broker can have more listings.

As a result of blockbusting, the price of houses decline. The license of brokers engaged in this activity is subject to disciplinary action.

Sebastian received a raise this year so his income climbed from $45,000 to $52,000. Last year Sebastian purchased 2 sunglasses. This year he has purchased 7 sunglasses. Assuming that all of the other things remain constant, what type of a good are sunglasses and what type of income elasticity of demand does Sebastian have

Answers

Answer:

normal good

elastic demand

Explanation:

Income elasticity of demand measures the responsiveness of quantity demanded to changes in income.

Income elasticity = percentage change in quantity demanded / percentage change in income

percentage change in quantity demanded = (7/2) - 1 = 250%

percentage change in income = (52,000 / 45,000) - 1 = 15.6%

250 / 15.6 = 16.07

If the absolute value of income elasticity of demand is greater than one, it means demand is elastic.

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Inferior goods are goods whose demand falls when income rises and increases when income falls.

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Answers

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b. readiness-based diversity training
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Answers

Answer:

In the given scenario, Tyell Corp. uses

b. readiness-based diversity training

Explanation:

Diversity Training:

A type of training in which the audience are trained to accept and understand the diversity of traits and cultural backgrounds of people.

In this scenario, Tyell Corp. teaches its diversified employees to ask questions stereotypes and change their personal opinion about each other. As this training is encouraging to understand the diversification so the option a and c are not valid.
The options b is valid as the consulting firm is motivating its employee to ask the questions and understand other people that is preparing the employee to accept the differences. So, they can work in harmony for the progress of the firm
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