Which of the following best explains what a career in public planning is like?

On January 1, 2010, Sunshine company issues bonds maturing in 10 years. The par value of the bonds is $500,000, the annual coupo

zheka24 [161]

Answer and Explanation:

a. The bonds is issued at a discount, since the coupon rate is lower than the interest rate on the market.

b. Par value = $500,000.

Annual coupon = Par value of bonds × Coupon rate

= $500,000 × 4 %

= $20,000

Interest rate = 6%

n = 10

Present value of an annuity 6%, n = 10 = ((1 - ( 1 ÷ 1.06 ) × 10) ÷ 0.06)

= 7.3601

Present value 6%, n = 10 = (1 ÷ 1.06) × 10

= 0.5584

Issue price of the bonds = Annual coupon × Present value of an annuity + Par value of bonds × Present value

= $20,000 × 7.3601 + $500,000 × 0.5584

= $147,202 + $279,200

= $426,402

3.The Journal entry is shown below:-

Cash Dr, 426,402

To Discount on Bonds Payable $73,598

To Bonds Payable $500,000

Being cash is recorded)

4. Interest expense for the year ended December 31, 2010 = Issue price of the bonds × Interest rate

= $426,402 × 7%

= $29,848.14

5. The Journal entry is shown below:-

Interest Expense Dr, 29,848

Discount on Bonds Payable Dr, 9,848

To Cash $20,000

(Being interest expenses is recorded)

6. Over the years the interest rate would rise as the bonds were issued at a discount.

6 0

3 years ago

Do a majority of US adults believe raising the minimum wage will help the economy, or is there a majority who do not believe thi

Fofino [41]

Answer:

There is sufficient evidence to support the claim that the majority of US adults believe raising the minimum wage will help the economy

Explanation:

Please see attachment .

5 0

2 years ago

Rina's Performance Pizza is a small restaurant in Dallas that sells gluten-free pizzas. Rina's very tiny kitchen has barely enou

ki77a [65]

Answer: variable input; fixed input

Explanation:

Based on the information given, in the short run, these workers are variable inputs, and the ovens are the fixed inputs.

Fixed inputs are the inputs that can't be easily changed that's increased or reduced in the short run while variable inputs can be increased or reduced easily.

Since Rina cannot change the number of ovens she uses in her production of pizzas in the short run, they're fixed input. The workers are variable input.

7 0

2 years ago

Kellogg's has several cereals targeted at different types of users. This is an example of multiple products aimed at multiple ma

AleksAgata [21]

Answer:

The correct answer is number "3": doesn't reduce quality or increase price.

Explanation:

Different groups of people within a market imply different needs and preferences pushing companies to diversify in order to fulfill them. Though, one of the main characteristics of that diversification must be accessibility. Companies expect to gain in sales thanks to the segmentation of the market but not necessarily by increasing the price of the new products being sold or decreasing their quality.

3 0

3 years ago

Think about your decision to buy the textbook for this course. You paid $250 for the book, but you would have been willing to pa

mart [117]

If the questions are “would I choose to buy the book in the first place”, and “Would I sell the book at the end of the course”, the answer to both questions is yes. The benefit of buying the book for the course is $400 dollars, which is greater than the sales price of $250. Thus, I would buy the book. At the end of the course, the benefit of keeping the book is $50, while my potential sales price is $125 (50% of 250). Thus, I can sell the book for more than it is worth to me, so I will sell the book at the end of the course.

7 0

3 years ago