The answer is for each escrow account.
Answer:
Entries that were made on August 1 to record the cash received is :
a. Cash..........14,700
Sales Discount. 300
Accounts Receivable 15,000
Explanation:
When the Inventory items were sold the entries are :
Trade Receivables $23,500 (debit)
Sales Revenue $23,500 (credit)
When payment is received on August 1, the payment is made within the discount period and the customer is eligible for the 15% cash discount.Entries would be as follows :
Cash $14,700 (debit)
Discount allowed $300 (debit)
Trade Receivable $15,000 (credit)
Answer:
$1.55
Explanation:
Interest rate parity = (1+Rh) / (1+Rf) = F1 / S0
Rh = rate on home currency here US is home 3% p.a = 3%/4 = 0.75%
Rf= rate on foreign currency here Germany 3.5% p.a = 3.5%/4 = 0.875
F1 = Forward rate
, S0= Spot market rate
So, (1+0.0075) / (1+0.00875) = F1 / 1.56
1.0075/1.00875 = F1 / 1.56
0.998761 = F1 / 1.56
F1 = 0.998761 * 1.56
F1 = 1.55806716
F1 = $1.55
Thus, the 90-day forward rate is $1.55
Answer:
$307.2 per year
Explanation:
We know that,
Dividend yield = Percentage of the current stock selling price
So, the dividend would be
= $48 × 3.2%
= $1.536
For 200 shares, the dividend income would be
= Number of shares purchased × dividend per share
= 200 shares × $1.536
= $307.2 per year
First, we have to find out the dividend per share and then multiply it by the number of shares purchased
