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3 years ago

What type of activity is the purchase of equipment for cash?

1 answer:

6 0

<span>Acquisition or Procurement is the means on how equipment is bought for businesses and the military. However for peoples own personal use, shopping is the more common everyday word.</span>

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A zero coupon bond: is sold at a large premium. can only be issued by the U.S. Treasury. has a market price that is computed usi

kupik [55]

Answer:

A zero coupon bond:

A. is sold at a large premium.

B. has a price equal to the future value of the face amount given a positive rate of return.

C. can only be issued by the U.S. Treasury.

D. has less interest rate risk than a comparable coupon bond.

E. has a market price that is computed using semiannual compounding of interest.

Answer is : B

Explanation:

In classification of bonds we have a unique type of bond known as Zero-coupon bonds also know as Pure discount bonds, unlike traditional bonds they don’t pay coupon instead they are sold on discount basis and on maturity the bondholder receive a par value, for this reason the price will be at a discount on sale and on maturity be redeemed at par price showing a positive rate of return.

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3 years ago

Which margin size is most appropriate for a business card?

yan [13]

3.5 inches because the normal business card is 3.5 in × 2 in

3 0

3 years ago

Read 2 more answers

Ruby, age 50, is considering going back to school. She would like to retire at age 67. She currently earns $50,000 per year. If

weeeeeb [17]

Answer:

Ruby should go to college.

Explanation:

Ruby is currently 50 years old and earning $50,000 per year.

She would like to retire at 67.

She is thinking of going back to college, to complete a graduate degree.

After completing a graduate degree from the college she would earn $55,000.

The total cost of a graduate degree is $75,000.

Ruby still has 17 years to work and earn.

Her income will increase by $5,000 after college

The increase in income earned after college until retirement

= $5,000 $\times$ 17

= $85,000

Since the increase in income is greater than the cost of going to college, Ruby should go to college.

4 0

3 years ago

Write a statement that increments total by the value associated with amount . That is, add the value associated with amount to t

marishachu [46]

Answer:

total = total + amount

Explanation:

The statement that increments total by the value associated with amount i.e add the value associated with amount to that associated with total and assign the result to total is:

total = total + amount

4 0

3 years ago

The most recent data from the annual balance sheets of Free Spirit Industries Corporation and LeBron Sports Equipment Corporatio

shutvik [7]

Answer:

Free Spirit Industries Corporation and LeBron Sports Equipment Corporation

1a. Free Spirit Industries Corporation’s current ratio is , and its quick ratio is 1.3337 : 1 and 0.7469 : 1 respectively.

1b. LeBron Sports Equipment Corporation’s current ratio is , and its quick ratio is 1.6596 : 1 and 0.9294 : 1 respectively.

2. True: Free Spirit Industries Corporation has less liquidity but also a greater reliance on outside cash flow to finance its short-term obligations than LeBron Sports Equipment Corporation.

3. True: A current ratio of 1 indicates that the book value of the company’s current assets is equal to the book value of its current liabilities.

4. True: An increase in the current ratio over time always means that the company’s liquidity position is improving.

Explanation:

a) Data:

Balance Sheet December 31st (Millions of dollars)

LeBron Sports Equipment Corporation Free Spirit Industries Corporation

LeBron Free Spirit LeBron Free Spirit

Assets Liabilities

Current assets Current liabilities

Cash $1,435 $922 Accounts payable $0 $0

Accounts receivable 525 338 Accruals 316 0

Inventories 1,540 990 Notes payable 1,793 1,687

Total current assets $3,500 $2,250 Total current liabilities $2,109$1,687

Net fixed assets Long-term bond 2,578 2,063

Net plant & equipment 2,750 2,750 Total debt $4,687 $3,750

Common equity

Common stock $1,016 $813

Retained earnings 547 437

Total common equity $1,563 $1,250

Total assets $6,250 $5,000 Total liabilities and equity$6,250 $5,000

b) Current Ratio and Quick Ratio:

Current Ratio = Current Assets/Current Liabilities

Quick Ratio = (Current Assets - Inventory)/Current Liabilities

1a. Free Spirit Industries Corporation’s current ratio is , and its quick ratio is

Current Ratio = $2,250 / $1,687 = 1.3337 : 1

Quick Ratio = ($2,250 - 990) / $1,687 = 0.7469 : 1

1b. LeBron Sports Equipment Corporation’s current ratio is , and its quick ratio is:

Current Ratio = $3,500 / $2,109 = 1.6596 : 1

Quick Ratio = $3,500 -1,540 / $2,109 = 0.9294 : 1

5 0

3 years ago