--%>

Calculate a positive net income for a company

Is this possible for a company with a positive net income and that does not distribute dividends to get itself in suspension of payments?

E

Expert

Verified

Yes. Many companies that entered into suspension of payments had shown a positive net income throughout the past years. There are very many companies with positive profits which do not have money.

   Related Questions in Corporate Finance

  • Q : Is there any optimal capital structure

    Is there any optimal capital structure?

  • Q : Broad research methodologies Various

    Various broad research methodologies are available with which to study the development of accounting theory. a. Discuss the deductive, inductive, normative, and empirical research methods.  

  • Q : Explain investment of bank for

    When my company is not listed, therefore the investment banks apply an illiquidity premium. In fact, they say this is an illiquidity premium but then they call this a small cap premium. Only one of the banks, apparently based upon Tit

  • Q : Calculating Super normal profit The

    The case study of an economic analysis is done for Schlumberger, oilfield Service Company.  They are No. 1 in terms of market caps, revenue and employees globally. When any references are used/outside sources (except for Schlumberger's annual reports and financia

  • Q : Who published a book regarding

    Who published a book regarding option formula and risk neutrality?

  • Q : All rates are stated annually with

    1 Assume the following (all rates are stated annually with semiannual compounding) a. Six Month Spot Rate is 2% b. Six Month Forward rate starting at month six is 2.2% c. Six Month Forward rate starting at month 12 is 2.4% d. Six Month Forward rate starting at mont

  • Q : Why is Split useful Why is Split useful?

    Why is Split useful?

  • Q : Problem on sales collections The 2010

    The 2010 income statements of Leggett and Platt, inc. reports net sales of $4,076.1 million in 2010 and $4,250 million in 2009. The balance sheet reports accounts and other receivables, net of $550.5 million at December 31, 2010 and $640.2 million at December 31, 2009

  • Q : Weighted return and simple return to

    What is the difference between weighted return and simple return to shareholders?

  • Q : Explain useful properties of

    Explain useful properties of low-discrepancy sequence theory or quasi random number theory.