Answer:
$315,250
Explanation:
total discount on bonds payable = $320,000 - $315,000 = $5,000
amortization of bond discount per coupon payment = $5,000 / 20 = $250
bonds carrying value after the first coupon payment is made = $315,000 + $250 = $315,250
Dr Interest expense 8,250
Cr Cash 8,000
Cr Discount on bonds payable 250
Answer:
e) Nan will have more money than Neal at any age.
Explanation:
In compound interest, the interest earned in the year is added to the principal amount at the beginning of the next year. Earned interest becomes part of the principal which makes it earn interest. Adding interest to the principal to earn more interest is known as compounding.
The longer the investment period is, the more time interest will be compounded, and the more the investment will grow. Nan made her investment at age 25. By the time she retires, her investment period will be 35 years. Neil started her investment at age 30. At any given time after they are both age 30, Nan's investment will have earned compounded interest five more times than Neil. Therefore, Nan will have more money at any given time.
<span>With the increase in the ability to gain a greater yield per acre, there has become a larger amount of crops available, driving down prices. In addition, prices fluctuate due to seasonal factors and weather phenomena. Also, the competition with large factory farms has driven down prices due to the larger farms' ability to easily produce more product for a lower cost.</span>
The rate of increase for the two automobiles = $34,200 - $19,000 = $15,200.
$15, 200 / $19,000 = 0.8
Therefore, the rate of increase for the two automobiles is 80%.
