Identify the letter of the choice that best completes the statement or answers the question.;1. Which of the following mechanisms helps to align management interests with those of shareholders?;a.;b.;c.;d.;A well designed compensation package.;An efficient managerial labor market.;The Sarbanes-Oxley Act of 2002.;All of the above.;2. Assume the pre-tax profit of $50,000 has been earned by a business, and the owner/proprietor wants;to withdraw all of the after-tax profit for personal use. Assume the tax rate for a C corporation is;33%, while the rate for a person is 25%. The after-tax earnings available under the corporate and;proprietorship forms of business are;a. for a corporation, $25,125, for a proprietorship, $37,500.;b. for a corporation, $24,090, for a proprietorship, $36,500.;c. for either a corporation or a proprietorship, $36,500.;d. for either a corporation or a proprietorship, $24,090.;3. Galan Associates prepared its financial statements for 2013 based on the information below.;The company had cash of $1,350, inventory of $12,480, and accounts receivables;of $6,589. The companys net fixed assets are $40,331, and other assets are $1,822.;It has accounts payable of $10,604, notes payable of $2,886, common stock of $22,400;and retained earnings of $14,368. How much long-term debt does the firm have?;a. $16,342;b. $18,334;c. $12,314;d. $22,342;4. Mikes Boutique announced that for the period ending December 31, 2013, it had revenues of;$640,000. The companys costs (excluding depreciation and amortization) amounted to 75% of;revenues, and Arts boutique had interest expenses of $40,000 and depreciation of 60,000. What is;the firms net income if the tax rate was 34 percent?
Paper#23854 | Written in 18-Jul-2015Price : $27