Answer:
.proper planing
.strict rules
.pre planning for a program
.problem solving skills
Answer:
Approximately 71 .11 months
Explanation:
This is a Future Value question. However we are solving for the Number of periods to determine how long it would take Joan to accumulate $3688.
Interest compounded monthly means Joan will be paid interest on her deposit on an annual basis prorated. she gets to earn interest on the accumulation of interest + principal monthly.
The formular for calculating Future Value is
FV = PV ( 1 + R )ⁿ
Our R which is the Rate(5%) will be adjusted to 12 months. =
However we need to solve for the N since we already have our FV. Therefore the revised formular is :
Continuing with the formular
Which is equals to 71.11 months approximately 6 years.
Answer:
$864,884
Explanation:
The proceeds received from the issuance of bonds equal the sum of the present value of the cash flows associated with the bonds (both the face amount and interest payments) discounted at the interest rate prevailing in the market at the time. The present value of the $800,000 face amount discounted at the market interest rate of 8% is equal to $540,448 ($800,000 × .67556). The present value of the semiannual interest payments of $40,000 [$800,000 × 10% × (6 months ÷ 12 months)] discounted at the market interest rate of 8% is equal to $324,436 ($40,000 × 8.11090). Thus, the proceeds on the sale of the bonds equal $864,884 ($540,448 + $324,436).
Answer: b. Income to the investor in the period of declaration
Explanation:
When an investor does not have a significant influence in a company which is usually defined as owning more than 20%, the dividends they receive will simply be calculated as income in the period it was declared.
If they had Significant influence then the Equity Method would have applied and led to more complex recording.
Answer:
The correct journal entry is:
B. Dr. Equipment $1000 Cr. Interest Payable $1000.
Explanation:
The company will debit the interest cost to its Equipment under construction account with the sum of $1,000 while the Interest Payable is credited with the same amount. The adjustment of the interest cost helps the company to capitalize the $1,000 with a debit to its asset account and a credit to the liability account since the amount has not been paid out to the finance house affected. By capitalizing the interest cost, the asset's value is increased while the interest payable increases the current liability of the company as at the date of the adjustment.
