Answer: E- create annual taxable income to individual bondholders
Explanation: Zero coupon bonds are bonds that are sold or bought by investors lower than the face value of the bond. they are long term bonds that do not generate interest throughout the life of the bonds.
These bond are usually issued by the US Treasury, Corporations, Local and state Government.
Bond owners can only make money on bond as the price in the market fluctuates against the face value. No payment is made on these bonds until maturity which is a long time say 10 to 15 years.
On these bond investors may have to pay income taxes on the interest that accrue on the bond yearly.
Answer: $4
Explanation:
The Bottle division is said to be able to meet all excess demand outside as well as that of the Cologne Division.
When this is the case in a company, individual divisions are allowed to transfer to each other at a rate equal to their Variable Costs. This is the general rule.
The Variable Costs for the containers is $4 so that is the transfer price as well.
Answer:
1800
Explanation:
A company threw away a computer that originally costs $8,500
They accumulated depreciation of $6,700
Hence the company will loss money, they would experience a loss of
8500-6700
= 1800
Hence the company will be at a loss of 1800
Answer:
Contribution margin per pound
Product A = $30
Product B = $20
Product C = $21
Explanation:
Products A B C
Direct Material $36 $90 $45
Provided cost of raw material per pound is $9
Pounds of raw
material used in a unit $36/9 = 4 $90/9 = 10 $45/9 = 5
Contribution per unit $120 $200 $105
Contribution margin per pound = Contribution per unit/ Pounds per unit
= $120/4 = $30 $200/10 = $20 $105/5 = $21
Highest contribution margin per pound is of Product A = $30
Contribution margin per pound
Product A = $30
Product B = $20
Product C = $21
Answer:
C. making information available to everyone.
Explanation:
The Internet raises the bargaining power of customers by making information available to everyone. The reason for this is that the bargaining power is the degree of influence customers have to force businesses to provide better products and lower price and the internet allows everyone to have access to lot of information which helps customers to learn about features, prices, differences in products and substitutes and this helps the customers to be educated and be sensitive about the price of the products increasing the bargaining power they have.
