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A corporation reported cash of $25,000, total assets of $451,000, and total equity of $154,560 on its balance sheet. its common-size percent for cash equals:_____.

Sagot :

abhaydwive123

7.85%. Explanation: Common-size percent for cash = 14.

Many small businesses are cash-strapped and are not paying dividends as a result. For them, total capital is simply the money invested plus any subsequent income.

Shares and capital refer to the separate but related aspects of a company's finances. Equity is the amount of money available to the company for investment and is part of the company's total capital. Equity itself is the company's total assets after deducting related liabilities.

While cash has a guaranteed value (allowing for changes such as inflation), stocks can end up being much more or less valuable than anyone guessed. Cash is a commodity. Company stock is not. Candidates' reactions to stocks and cash may stem from their risk appetite.

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