Multiple Choice
On June 10,2016,Burton Builders,Inc. ,a publicly traded company,announced that it had been awarded a contract to build a football stadium at a contract price of $500 million.This contract would increase its projected revenues by 20% over the next three years.Which of the following statements is correct with regard to this announcement?
A) The market price of Burton's stock will probably be higher on June 11,2016 than on June 10th.
B) Burton's net cash flow from operations will increase by 20% over the next three years.
C) Burton's assets should be increased by $500 million on June 10,2016 to recognize this contract.
D) Burton's net income will increase by 20% over the next three years.
Correct Answer:
Verified
Correct Answer:
Verified
Q12: Van Buren Corporation issued 5,000 shares of
Q26: The class or type of stock that
Q140: Indicate how each event affects the elements
Q142: Helena Corporation declared a 2-for-1 stock split
Q143: In accordance with restrictive debt covenants,Maynard Company
Q144: Green Corporation has the following stock outstanding:<br>In
Q146: The term "double taxation" refers to which
Q148: Which of the following would not be
Q149: Indicate how each event affects the elements
Q150: The Bristol-Fuller partnership was formed on January