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allsm [11]
3 years ago
5

On January 1, year 1, Ziegler issued 5-year bonds with a stated rate of 8% and a face amount of $100,000. The bonds pay interest

semiannually. The market rate of interest was 10%. Calculate the issue price of the bonds. Round your answer to the nearest dollar. $92,278
Business
1 answer:
steposvetlana [31]3 years ago
5 0

Answer:

$92,278

Explanation:

Annual coupon = $100,000 × 8% = $8,000

Annual coupon discount factor = ((1-(1/(1 + r))^n)/r)

Where;

r = semi-annul interest rate = 10%/2 = 5%, 0.05

n = number of period = 5 × 2 = 10 semi-annuals

Annual coupon discount factor = ((1-(1/(1.05))^10)/0.05) = 7.72173492918482

PV of coupon = $8,000 × 7.72173492918482 × 0.5 = $30,886.94

PV of the face value of the bond = 100,000 ÷ (1 + 0.05)^10 = $61,391.33

Therefore, we have:

Price of bond = $30,886.94 + $61,391.33 = $92,278

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Eric enjoys making pizza. When he makes pizza for his friends, sometimes Eric cares about how the pieces are distributed, and so
sammy [17]

Answer:

equity:

-He cuts the pie into eight equal slices.

-He cuts the pie into many slices so that everyone gets a piece.

Efficiency:

-He lets one person eat the whole pie.

-He makes sure that the whole pie is eaten.

Explanation:

Equity deals with distribution i.e to ensure things are equally distributed

While

Efficiency is trying to make sure things are completely used up i.e act of preventing waste

3 0
3 years ago
Partnership records show the following capital balances at the date of Hopkin's withdrawal: M. Hammel, $80,000; D. Hopkins, $210
Anestetic [448]

Answer:

Dr D. Hopkins, Capital 210,000

Cr P. Houghton, Capital 10,000

Cr M. Hammel, Capital 10,000

Cr Cash 230,000

Explanation:

Preparation of the December 31 journal entry for the partnership.

Based on the information given the December 31 journal entry for the partnership will be :

Dr D. Hopkins, Capital 210,000

Cr P. Houghton, Capital 10,000

(100,000-80,000/2)

Cr M. Hammel, Capital 10,000

(100,000-80,000/2)

Cr Cash 230,000

3 0
3 years ago
You need to keep an inventory of all company computers. You want to use a mechanism that will help you to identify the assets. W
timama [110]

Answer: Labeling

Explanation:

The mechanism that can be used to keep an inventory of all company computers in order to help identify the assets is referred to as labeling.

Labeling is simply defined as the display of information about a certain product. This is vital to help customers easily identify the good and also makes it different from other.

5 0
3 years ago
Which person makes original journal entries in the general ledger and reporting system about events such as dividend payments an
Nina [5.8K]

Treasurer-person makes original journal entries in the general ledger and reporting system about events such as dividend payments and payments to creditors

<h3>What does us Treasurer do?</h3>

The Treasurer of the United States has direct oversight over the U.S. Mint, the Bureau of Engraving and Printing and Fort Knox and is a key liaison with the Federal Reserve. In addition, the Treasurer serves as a senior advisor to the Secretary in the areas of neighborhood development and public engagement.

<h3>Why is it referred to as a Treasurer?</h3>

Originally the phrase referred to the individual in charge of the treasure of a noble; however, it has now moved into wider use. In England at some stage in the seventeenth century, a function of Lord High Treasurer was used on a number of events as the 0.33 remarkable officer of the Crown.

<h3>What is the electricity of treasurer?</h3>

He is the individual accountable for controlling monetary complications, making reports, recording finances, and managing the have confidence financial institution accounts.

Learn more about Treasurer here:

<h3>brainly.com/question/1320342</h3><h3>#SPJ4</h3>
8 0
1 year ago
Whitmer Corporation is working on its direct labor budget for the next two months. Each unit of output requires 0.07 direct labo
professor190 [17]

Answer:

Instructions are below.

Explanation:

Giving the following information:

Each unit of output requires 0.07 direct labor-hours. The direct labor rate is $8.70 per direct labor-hour. The production budget calls for producing 6,000 units in February and 6,500 units in March.

We need to determine the total direct labor hours needed for each month.

February:

Total direct labor hours= 6,000*0.07= 420 hours

Total direct labor costs= 420*8.7= $3,654

March:

Total direct labor hours= 6,500*0.07= 455 hours

Total direct labor costs= 455*8.7= $3,958.5

7 0
3 years ago
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