Answer:
b. credit to Gain on Sale of Investments for $2,400.
Explanation:
May 1, 20Y6
Purchase price of Bond = $100
Number of Bond Purchased = $100,000 / 100 = 1,000 per bond
February 1, 20Y7
Sale Price of Bond = $103 per Bond
Gain on Sale = $103 - $100 = $3 per bond
Number of Bond Sold = $80,000 / 100 = 800 bonds
Gain on sold bonds = 800 bonds x $3 per bond = $2,400
Journal Entry Will be as follows:
Dr. Cr.
Cash (800 x 103) $82,400
Gain on sale $2,400
Investment in Bond $80,000
Answer:
The correct answer is option c.
Explanation:
A firm is able to maximize its profit when the marginal revenue earned is equal to the marginal cost incurred. This is true for all market structures whether competitive or imperfect competition.
When the output is produced at the point where marginal revenue and marginal cost are equal, it implies that the last unit produced is adding more to revenue than to costs. And the production of the last unit is increasing profits or reducing losses.
At this point, the marginal profit is zero when the marginal profit becomes negative it implies that the total profit is decreasing. so for profit maximization marginal profit should be zero or marginal revenue should be equal to marginal cost.
The uniqueness of a certificate of deposit compared to a time deposit is the financial penalty.
<h3>What is the financial penalty?</h3>
A financial penalty means the obligation to pay a sum of money on conviction of a criminal or administrative offense, including orders made in criminal proceedings to pay compensation for the benefit of victims of crime, financial penalties are the obligation to pay a sum of money upon conviction of a criminal or administrative offense. A sum of money is demanded as restitution for violating the law or, occasionally, a contract's conditions. and orders to pay sums in respect of the costs of a court or administrative proceedings. Payment is required as a result of breaking the law or sometimes for breaching the terms of a contract.
To learn more about the financial penalties, visit:
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