Explanation:
The journal entries are as follows:
On July 1
Prepaid Insurance A/c Dr $20,700
To Cash A/c $20,700
(Being prepaid insurance is paid)
On December 31
Insurance expense A/c Dr $
To Prepaid insurance A/c $1,110
(Being the insurance expense is recorded)
The insurance expense is shown below:
= $20,700 ÷ 3 years × 6 months ÷ 12 months
= $3,450
Answer:
A. 1 and 4 are true
Explanation:
Statement 1: When inflation goes up the market prices of goods increase and reduces buying power of customer. So, if you get $100 even after 5% inflation, you would get $95 worth good.
Statement 2: It is commonly known as, the higher the risk the higher the gain. So, risk premium and risk exhibited by security is directly related with each other.
Statement 3: Since, risk free rate is the compensation for time value of money, that is why it can’t make real risk-free rate negative because real risk rate is there, but inflation can go higher than risk free rate.
Statement 4: Maturity payment is paid to investors or savers after certain period of time along with principal amount.
Hence, A. 1 and 4 are true
Answer:
The correct option is 2. Has the growth mindset.
When a person believes in his/ her self, the person has a growth mindset.
Answer:
A.
Explanation:
add on interest loan is more frequently in case of sub prime borrowers.
Answer:
$22
Explanation:
From the question above, the paid in capital at the beginning of a year was $164
Retained earnings was $94
During the year the amount invested by stockholders was $48 and a dividend of $12 was declared and paid.
At the end of the year the retained earnings was $104
Therefore, the net income for the year can be calculated as follows
Net income= Retained earnings at the end of the year-retained earnings at the beginning of the year+dividend
Net income= $104-$94+$12
= $22
Hence the net income for the year was $22