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3 years ago

Turner Company issued $300,000 of 6%, 5-year bonds at 98.

Business

1 answer:

Vladimir [108]3 years ago

3 0

Answer:

d. $19,200

Explanation:

Turner Company issued $300,000 of 6%, 5-year bonds at 98. Assuming straight-line amortization and annual interest payments, how much bond interest expense is recorded on the next interest date?.

=($300,000 x 6% plus $6,000/5)

Therefore the correct answer is d)$19,200

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Which of the following measures the percentage change in earnings before interest and tax(or operating cash flow) associated wit

Anton [14]

Answer:

1. Measure of the percentage change in earnings before interest and tax or operating cash flow:

B) Degree of operating leverage

2. P/E Ratio of 10 indicates that:

c. The value of the stock will be 10 times the initial investment at the time of maturity.

Explanation:

Company B's degree of operating leverage is the financial measure that shows the degree of change of the operating income of the company in relation to a change in her sales revenue. With this measure, investors and analysts of Company B are able to evaluate how sales impacts the company's operating income. There are many ways to measure a company's degree of operating leverage. One of the methods subtracts the variable costs of sales and divides that number by sales minus variable costs and fixed costs.

Company A's P/E ratio or price/earnings ratio is the measure of the relationship between the current market price and its earnings per share. It is used to evaluate the value of the company's stock. It points out whether the company's stock is undervalued, overvalued, or correctly valued.

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3 years ago

Determine fixed cost, F; average variable cost, AVC; average cost, AC; marginal cost, MC; and average fixed-cost, AFC. The

Rom4ik [11]

Answer:

Fixed Cost Function = Average Cost - Average Variable cost

Explanation:

A fixed cost is the one which does not changes with the level of production. These cost are irrelevant to number of units production. It is not affected by the units produced and sold. The change in fixed cost does not affect the marginal cost. The marginal cost is the variable cost that is incurred by producing one more unit. These costs are affected by the level of production.

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3 years ago

Preparing a Direct Labor Budget Tulum Inc. makes a Mexican chocolate mix. Planned production in units for the first 3 months of

AleksAgata [21]

Answer:

Jan = $306 in direct labour costs

Feb = $272 in direct labour costs

March = $357 in direct labour costs

Total for the quarter = $935 in direct labour costs

Explanation:

0.4 hours is 24 minutes

January

= 24 700 units / 24 minutes = 1029

1029 minutes would be required for 24 700 units

1029 minutes / 60 = 17.15 hours. We round up to 18 hours

18 hours* $17 per hour = $306

Therefore, $306 in direct labour costs in January

February

= 22 000 units / 24 minutes = 917

917 minutes would be required to produce 22 000 units

917 minutes / 60 = 15.3 hours. We round up to 16 hours

16 hours * $17 per hour = $272

Therefore, $272 in direct labour costs in February

March

= 30 200 units / 24 minutes = 1258

1258 minutes would be required to produce 30 200 units

1258 minutes / 60 = 20.97 hours. We round up to 21 hours

21 hours * $17 per hour = $357

Therefore, $357 in direct labour costs in March

Total for the quarter = 306 + 272 + 357 = 935

$935 in direct labour costs for the first quarter

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3 years ago

Read 2 more answers

A firm has return on assets (roa) of 15 percent, and debt-equity ratio of 60 percent. calculate the firm's return on equity (roe

Olenka [21]

<span>Given that a firm has return on assets (roa) of 15 percent, and debt-equity ratio of 60 percent.

Then, equity multiplier = 1 + Debt-equity ratio = 1 + 60/100 = 1 + 0.6 = 1.6

Return on equity (roe) is given by return on asset multiplied by the equity multiplier.

Therefore, the firm's return on equity is 1.6 x 0.15 = 0.24 = 24%.
</span>

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4 years ago

In the large city where Cassandra lives, many people are asking for her restaurant to deliver food to their offices. Her restaur

NISA [10]

Answer:

Value

Explanation:

Cassandra has determined that by satisfying customers they can increase their sales which is also witnessed from The VRIO analysis. This analysis shows that the product uniqueness, resources availability, internal and external analyses, etc are of the opinion that this service will bring value to the company.

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3 years ago