Answer:
False
Explanation:
When you buy on margin you are borrowing money from your broker in order to purchase securities. The advantage of buying on margin is that you can purchasing a larger amount of stocks, but that also increases the risk of your investment as well as the potential returns.
The process of helping a group to assess its accomplishments and plan alternatives: Termination
Answer:
31 Dec 2021 Interest Expense $667 Dr
Interest Payable $667 Cr
Explanation:
The bond will pay the interest at maturity. However, following the accrual basis of accounting requires to match the revenue and expenses for a period and requires such transactions to be recorded in their respective periods. The year end adjusting entry will be made on 31 December 2021.
The interest expense for the period from August to December, 5 months, will be recorded on 31 December 2021 as interest expense and credit to interest payable.
The interest expense is = 16000 * 0.1 * 5/12 = $666.67 rounded off to $667
Answer:
<em>Employee stock ownership plan</em>
Explanation:
An employee stock ownership plan (ESOP) is <em>a retirement plan wherein the employer contributes its shares (or funds to purchase its stock) to the fund for the advantage of the employees of the company.</em>
The company maintains an account for every employee who participates in the program.
Over time stock shares accumulate before an employee is eligible to them.
With an ESOP, while still working with the company, you never purchase or keep the stock directly.
If an employee is fired, decides to retire, is disabled, or dies, the company must transfer the stock shares in the account of the employee.
