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emmasim [6.3K]
3 years ago
12

The following data were selected from the records of Sykes Company for the year ended December 31, Current Year.

Business
1 answer:
NISA [10]3 years ago
7 0
F I hope I was able to help u
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Bonds are a far more important source of financing than are stocks B. Financial intermediaries such as banks are the least impor
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Answer:

Bonds are a far more important source of financing than are stocks

Explanation:

There is so much of risk associated with the issue of stock. Though it is essential for any business to issue some stock, but bonds are always favorable as they have a defined maturity, defined amount associated, and defined interest payment.

There is no direct payment of interest in bonds but the expense is to be recorded in books as per the matching and accrual principle.

The discounted value of interest to be paid on maturity is recorded.

Further, there is a tax benefit on bond payments.

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Suppose you deposit $116 today, $135 in one year, and $885 in two years in an account that pays an annual rate of interest of 14
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The answer is $1357.85

Explanation:

Future value= Σ C(1+i)^n

FV = 116(1.141^3) + 135( 1.141^2) + 885(1.141) = $1357.85

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