1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Maslowich
1 year ago
6

Chang industries has bonds outstanding with a par value of $200,000 and a carrying value of $203,000. If the company calls these

bonds at a price of $201,000, the gain or loss on retirement is?
Business
1 answer:
Fynjy0 [20]1 year ago
4 0

If the company calls these bonds at a price of $201,000, the gain or loss on the retirement would be $2,000.

Here,  $203,000 is the net carrying value of the liability - $201,000 is the price the bonds were called at and the price that Chang industries paid to retire the bonds and the associated liability.

Therefore,   $203,000 - $201,000 =  $2,000

The gain or loss on the retirement would be $2,000.

A bond retirement occurs when an organization repurchases bonds that it had previously issued to investors. Thus, the issuer retires the bonds at the scheduled maturity date of the instruments.

Hence, bond retirement involves the cashing out of a bond that has been invested in.

To learn more about bond retirement here:

brainly.com/question/13960495

#SPJ4

You might be interested in
Which of the following LEAST describes the concept of brand equity? Select one:
Julli [10]

Answer:

The statement states least regarding the brand equity concept is option A

Explanation:

Brand equity is the value or value premium which a firm generates  or create for the product with a name that is recognizable when compared to the generic equivalent. It is used by companies for creating a brand for their products by making them superior in reliability and quality.

So, the one which state least regarding the same that it provide information for assessing the maximizing of the supply chain.

6 0
3 years ago
What international theory attributes security competition and interstate conflict to the lack of an overarching authority in the
wariber [46]

Structural Realism

Explanation:

International politics is basically a struggle for power, but they don't always endorse the conventional logical view that this is a human psychology outcome. The lack of an overall authority over countries and relative power sharing in the international system refer defense rivalry and intergovernmental disputes to them.

Structural realism maintains that its theory of chaos and capability allocation (measured for the number of large competences within the international system) determine the essence of the international framework. The international system has a dynamic anarchically organising theory, which ensures that there is no hierarchical central authority.

3 0
3 years ago
When a customer chooses to accept an item of value from a business because it requires no incremental spending on the part of th
iVinArrow [24]

Answer:

The correct answer is letter "B": rational people think at the margin.

Explanation:

The "rational people think at the margin" principle means that consumers consider the marginal benefits and costs of acquiring a good or service before the purchase is made. Purchases typically take place when the marginal benefit is higher than the marginal cost.

7 0
3 years ago
The nation of Aquilonia has decided to end its policy of not trading with the rest of the world. When it ends its trade restrict
djverab [1.8K]

Answer:

higher in the steel market, lower in the rice market, and unchanged in the TV market

Explanation:

Producer surplus can be defined as the variance between the amount an individual or nation is willing to take for certain quantity of a product versus the amount they receive when the goods are sold at the market value. For the nation of Aquilonia to be importing rice that means producer surplus is higher because the variance is low, it will export rice because the producer variance is low, and hence it wants to give to other countries. But since it is neither exporting nor importing TV, that means that the producer surplus remained the same even after the change in policy.

7 0
3 years ago
Jackson has the choice to invest in city of Mitchell bonds or Sundial, Incorporated corporate bonds that pay 5.8 percent interes
Ber [7]

Answer:

4.524%

Explanation:

Jackson's marginal tax rate = 22%

after tax return of Sundial Incorporated bonds = 5.8% x (1 - 22%) = 4.524%

since municipal bonds are not taxed by the federal government, in order to compare the yields we must calculate the after tax return of corporate bonds. On the other hand, federal bonds do not pay state and local taxes.  

3 0
3 years ago
Other questions:
  • MC Qu. 142 Memphis Company anticipates total... Memphis Company anticipates total sales for April, May, and June of $840,000, $9
    7·1 answer
  • For each of the following transactions for New Idea Corporation, give the accounting equation effects of the adjustments require
    13·1 answer
  • Earl and Mary form Crow Corporation. Earl transfers property, basis of $200,000 and value of $1,600,000, for 50 shares in Crow C
    12·1 answer
  • It is blank for motorcycles to pass between cars in the middle of traffic lanes
    5·1 answer
  • The middle of supply chain information systems (SCIS) framework is which of the following?
    5·1 answer
  • For each of the following items, calculate the cash sources or cash uses that should be recognized on the statement of cash flow
    13·1 answer
  • When a nation’s currency appreciates, what is the most likely result?
    5·1 answer
  • Bramble Corp. purchased equipment for $48800. Sales tax on the purchase was $2928. Other costs incurred were freight charges of
    9·1 answer
  • ash Flows from Investing Activities During the year, Murray Company sold equipment with a book value of $125,000 for $175,000 (o
    6·1 answer
  • How can you best protect your own intellectual property?
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!