A share of preferred stock with an annual dividend of $10 is selling for $140. What is the required rate of return for the preferred stock?
Rate of return for the preferred stock (Vp) = D/ rp $140 = $10 / rp rp = $10 / $140 rp = 0.0714 or 7.14%
When ABC Co. acquired 80% of the common stock of XYZ corp. Xyz owned land with a book value of $80,000 and a fair value of $110,000. What is the amount of excess land allocation attributed to the controlling interest at the acquisition date?
Amount of excess land allocation = ($110,000-$80,000)*80% Amount of excess land allocation = $24,000
Discuss how the 10th amendment applies, explain how this is a burden on the business.
The 10th Amendment provides a huge impact on the business of united state constitutions. The article which is published in Atlantic, it shows that the effect that the 10th amendment has on the business. For the 10th Amendment was applied by the judge of the Supreme Court of the united state constitution, the judge claim about the regulated power of the Congress also the form of intrastate commerce. There is need to have business regulation on the production of commodities such foodstuffs to prevent the production of harmful products for consumers. In the article published in the Atlantic, the Circuit Court of Appeals ruled against the advertised of the juice. The major impact of the same on various parameters because of business control by the Congress only, if that does not directly impact on the interstate commerce.