Answer:
a. GDP will increase
b. No effect on GDP
c. GDP will increase
d. GDP will increase
e. GDP will rise
Explanation:
Gross domestic product is the total monetary value of all the finished goods produced in the country during a specific period. When a new house is constructed it will create value for the economy and GDP will rise but when an old house is resold again there is no addition in the monetary value so there will be no effect on GDP.
Answer:
$605
Explanation:
Jasmine's total gross income = $6,500 + $600 = $7,100
standard deduction = $1,050 or earned income + $350. She she doesn't have earned income, then $1,050
taxable income = $7,100 - $1,050 = $6,050
tax liability = $6,050 x 10% (lowest bracket) = $605
Answer:
Price of the bond is $2392.95
Explanation:
Price of the bond is the present value of all cash flows of the bond. Price of the bond is calculated by following formula:
According to given data
Coupon payment = C = $2,000 x 5.88% / 2 = $58.8
Number of periods = n = 2 x 23 years = 46 periods
Yield to Maturity = r = 4.5% / 2 = 2.25% semiannually
Price of the Bond = $58.8 x [ ( 1 - ( 1 + 2.25% )^-46 ) / 2.25% ] + [ $2,000 / ( 1 + 2.25% )^46 ]
Price of the Bond = $58.8 x [ ( 1 - ( 1 + 0.0225)^-46 ) / 0.0225 ] + [ $2,000 / ( 1 + 0.0225 )^46 ]
Price of the Bond = $58.8 x [ ( 1 - ( 1.0225)^-46 ) / 0.0225 ] + [ $2,000 / ( 1.0225 )^46 ]
Price of the Bond = $1674.3 + $718.65 = $2,392.95
Answer:
Agee Technology, Inc.
Amounts related to the bonds to report in statement of cash flows for the year ended December 31, 2018:
1. Receipts from Bonds Issue = $1,680 million
2. Payment of Interests on Bonds = -$153 million
Explanation:
a) The interests are based on based on 9% of $1,700 million, the bonds' face value.
b) The same amounts will be reported either using the direct method or the indirect method. The indirect method adjusts the net income with non-cash expenses instead of using the direct inflows and outflows from operating activities.