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
OLEGan [10]
3 years ago
14

On January 1, the Kings Corporation issued 10% bonds with a face value of $96,000. The bonds are sold for $94,080. The bonds pay

interest semiannually on June 30 and December 31 and the maturity date is December 31, ten years from now. Kings records straight-line amortization of the bond discount. Determine the bond interest expense for the year ended December 31 of the first year is.
Business
1 answer:
sleet_krkn [62]3 years ago
5 0

Answer:

9,792 total interest expense

Explanation:

face value 96,000

issued at    94,080

<em>discount        1,920</em>

<u><em>amortization of the bond:</em></u>

discount/total payment

10 years atsemiannual payment = 20 payment

1,920/20 = 96

<u><em>cash proceed:</em></u>

96,000x 10%/2 = 4,800

discount                    96

<u>interest expense  4,896 per payment</u>

2 payment per year 9,792 total interest expense

<em />

You might be interested in
A customer has purchased 1,000 shares of ABC stock at $44 per share, paying a commission of $1.00 per share for the transaction.
EastWind [94]

Answer:

D) 1,200 shares held at a cost basis of $37.50 per share

Explanation:

Since the company paid a stock dividend, it increased the number of stocks held by the stockholders. The investor initially had 1,000 shares plus a 20% dividend = 1,000 x 1.2 = 1,200 shares. Since each stock should theoretically be worth less, his/her basis should decrease. The basis for each stock was $44(price) + $1(commission) = $45, after the dividend is paid it will be adjusted to $45 / 1.2 = $37.50 per stock

6 0
3 years ago
Jim wants to buy a car, but he’ll probably only need it for a couple of years. He has a short commute to work, so he won’t be pu
amm1812
Lease the car as it will not see many miles and is used in a specific time frame. should he need it longer he can buy out the lease at the end to owm the car.
8 0
2 years ago
A person who is following GAAS standards is most likely a(n)
Marianna [84]

Answer:

A. auditor

Explanation:

Almost got it wrong

5 0
1 year ago
Read 2 more answers
The Constitution sets forth specific powers that can be exercised by the national government and provides that t national govern
g100num [7]

The Constitution sets forth specific powers that can be exercised by the national government and provides that the national government has the implied power to undertake actions necessary to carry its expressly designated powers under the Tenth Amendment, all other powers are expressly reserved to <u>the states</u>.

<u>Option: B</u>

<u>Explanation:</u>

The given points are showcasing the federal power, which act as rights within a federal government structure that are totally or conditionally excluded from the operation of each representative political entity. That is, either a local political entity can never practice such powers, or can do so only with the federal government's permission.

The United States' 10th Amendment Constitution interprets that the powers not granted by the Constitution to the United States, nor forbidden by it to the States, are secured for the States, or the individual, accordingly. This Amendment was adopted in 1791, incorporates Federalism's basic values in a parliamentary system of Government.

3 0
2 years ago
If fixed costs are $270,000, the unit selling price is $70, and the unit variable costs are $45, what are the old and new break-
pentagon [3]

Answer:

Results are below.

Explanation:

Giving the following information:

Fixed costs= $270,000

Unitary selling price= $70

Unit variable costs= $45

<u>To calculate the break-even point in units, we need to use the following formula:</u>

Break-even point in units= fixed costs/ contribution margin per unit

Break-even point in units= 270,000 / (70 - 45)

Break-even point in units= 10,800

<u>Now, if the selling price is $76:</u>

Break-even point in units= 270,000 / (76 - 45)

Break-even point in units= 8,710

4 0
2 years ago
Other questions:
  • P10-45. Analyzing and Interpreting Effects of TCJA Tax Law Changes. Pfizer Inc. reports the following footnote disclosure in its
    14·1 answer
  • Regina is looking to start a knitting business and completes a target market profile to include in her business plan. Identify w
    13·1 answer
  • Suppose Clampett, Inc. terminated its S election on August 28, 2018. At the end of the S corporation's short tax year ending on
    10·1 answer
  • Compare the strengths and weakness of the traditional fraud detection techniques with the machine learning techniques for fraud
    11·1 answer
  • Loster Company reported a net loss of $17,017 for the year ended December 31. During the year, accounts receivable decreased by
    7·1 answer
  • Robert only consumes X and Y, and his indifference curves have the usual convex shape. Consider the consumption bundles (3, 9),
    14·1 answer
  • WHOEVER ANSWERS THIS IN 2 MINS GETS BRAINLIEST!!
    14·1 answer
  • When evaluating possible careers, you should match the career information you researched to your personal interests
    14·2 answers
  • Autonomous consumption is defined as: Group of answer choices the level of consumption that depends only on the exchange rate. t
    7·1 answer
  • You are the manager of College Computers, a manufacturer of customized computers that meet the specifications required by the lo
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!