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ra1l [238]
1 year ago
14

Several years ago, Tamika Company issued bonds with a face value of $603,000 at par. As a result of declining interest rates, th

e company has decided to call the bond at a call premium of 7 percent over par.
Required:
Record the retirement of the bonds.
Business
1 answer:
juin [17]1 year ago
7 0

Bond retirement is also known as bond reimbursement. The equalization will be repaid with interest on the reimbursement date.

<h3>When recording bond retirements, use a discount account:</h3>

Bonds are assumed to be worth $603,000, and their current book value is estimated to be $645,210. T will be paid back with a 7% premium. $42,210 is the total ($603,000 x 7%). The bond guarantor must give the investor $65,210 ($603,000 + $42,210) on the date of reimbursement. The $42,210 excess payment should be viewed as bad luck for the bond call.

<h3>Here are the journal entries to reflect bond retirement:</h3>

Bonds payable are debited by $603,000

Debit: $42,210 is the loss on bond call.

Citation: Cash $642,210 = [$603,000 x (1 + 0.07)]

To know more about bond reimbursement  visit: brainly.com/question/28198103

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Free cash flow is chegg
pentagon [3]

After a company has invested in the assets required to support continued operations, cash flows become available for distributions to stockholders including debt holders.

<h3>Why is free cash flow important?</h3>

A business's free money flow can reveal information about its health. If you have a lot of free cash flow, you could have sufficient money to cover your operational costs plus some. The balance may be distributed to investors, reinvested in the company, or used for stock buybacks.

<h3>What causes free cash flow to rise?</h3>

debt restructuring to reduce interest rates and improve repayment terms. restricting, postponing, or cutting back on capital expenditures. hiring a CFO or part-time CFO to use management accounting to enhance financial strategy and overall operations.

To know more about Free cash flow visit:

brainly.com/question/14762501

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3 0
1 year ago
You go to a local car lot and buy a used car as is. After you have driven only a few miles, the check-engine light flashes urgen
ArbitrLikvidat [17]

Answer:

ask the mechanic to document their findings

get a vehicle-history report online to look for evidence of odometer tampering

write a letter or email to the dealer, with copies of relevant documents

report the incident to the Better Business Bureau and your state attorney general

Explanation:

First of all, tampering the odometer is a federal crime. The first thing you need to do is gather evidence and go to the police. You can do this by asking your mechanic to document any alteration and looking for other evidence online also helps. E.g. if you buy a car that is 10 years old and the odometer records only 10,000 miles, you should be suspicious (plain common sense).

I doubt that writing an email works, but you could be lucky and get a favorable response from the dealer. Or more importantly, it can be used as evidence that the dealer was aware of the fraud and didn't do anything to correct it.

Reporting this incident to the Better Business Bureau can help prevent that other people are tricked by the dealer, but as soon as you have evidence of what happened you should report the crime.

6 0
3 years ago
In a market economy, which of the following is NOT an accepted role of government?
SOVA2 [1]

Answer:

providing for national defense

Explanation:

yes

6 0
2 years ago
A common problem in surveying is to determine the altitudes of a series of points with respect to some reference point. The meas
iVinArrow [24]

<u>Answer:</u>

<em>During</em><em> light downpour or day off,</em><em> teams can work; be that as it may, at whatever point the downpour or snow is </em><em>influencing perceivability</em><em> or there is lightning, a field group ought not be working. </em>

<u>Explanation:</u>

A <em>common problem in surveying</em> is to determine the altitudes of a series of points with respect to some reference point.

The <em>measurements are subject to error</em>, so more observations are taken than are strictly necessary to determine the altitudes, and the resulting over determined system is solved in the <em>least-squares sense to smooth out errors. </em>

5 0
3 years ago
Which of the following statements about boundary managers is true? a. Boundary managers persuade top management to support the t
Gelneren [198K]

Answer:

A

Explanation:

The way in which boundaries are managed can affect organisational function. For effective functioning, it is important to set up boundaries to create levels of distinctions and integration.

It is The boundary manager determines how a team can work with others that are interested in how the team performs and they persuade too management to support the teams work.

6 0
3 years ago
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