The only definite result from a stock dividend or a stock split is

A) an increase in the P/E ratio.
B) an increase in the common stock's market value.
C) an increase in the number of shares outstanding.
D) cannot be determined from the above.

Answer: C

Business

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The final step in the process of creating the master budget is the preparation of the ________

A) operating budget B) budgeted balance sheet C) budgeted statement of cash flows D) cash budget

Business

TropiKana Inc., a U.S firm, has just borrowed $1,000,000 to make improvements to an Italian fruit plantation and processing plant. If the interest rate is 6.00% per year, how much interest will they pay in the first year?

A) $6,000 B) $60,000 C) $600,000 D) €60,000

Business