REFERENCE: Ref.06_02 Stoop Co.owned 80% of the Common Stock of Knight Co.Knight

question 99

Multiple Choice

REFERENCE: Ref.06_02
Stoop Co.owned 80% of the common stock of Knight Co.Knight had 50,000 shares of $5 par value common stock and 2,000 shares of preferred stock outstanding.Each preferred share received an annual per share dividend of $10 and is convertible into four shares of common stock.Stoop did not own any of Knight's preferred stock.Knight also had 600 bonds outstanding,each of which is convertible into ten shares of common stock.Knight's annual after-tax interest expense for the bonds was $22,000.Stoop did not own any of Knight's bonds.Knight reported income of $300,000 for 2009.
-A company had common stock with a total par value of $18,000,000 and fair value of $62,000,000;and 7% preferred stock with a total par value of $6,000,000 and a fair value of $8,000,000.The book value of the company was $185,000,000.If 90% of this company's equity was acquired by another,what portion of the value would be assigned to the noncontrolling interest?

• A)$18,500,000.
• B)$7,000,000.
• C)$6,200,000.
• D)$2,400,000.
• E)$6,929,400.

Appreciate the significance of job design concepts such as job simplification, job enrichment, job rotation, and job enlargement in enhancing job satisfaction and performance.

Identify the guidelines for using positive reinforcement effectively in the workplace.

Understand the impact of job design on employee motivation and performance through the application of motivation theories.

Distinguish between job simplification and automation and their implications on organizational efficiency and employee satisfaction.

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Definitions:

Statutorily Required Filing

Refers to documents or submissions that must be filed according to law or statute.

Obligations

Duties or responsibilities imposed by law, contract, or conscience that one party owes to another.

Assign Partnership Interest

The transfer of a partner's ownership interest in a partnership to another party, subject to the terms of the partnership agreement.

Ceases to Be a Partner

Occurs when an individual no longer holds the status of a partner in a partnership, possibly due to withdrawal, expulsion, or agreement termination.