A large company could use selling bonds as an alternative to selling shares of stock as a means of raising funds.
<h3>What do you mean by bond selling?</h3>
The company will look for potential buyers on the market. When the company acts as principal, as it does in the majority of bond transactions, it either sells you a bond that it already has (a process known as selling the bond from inventory) or purchases the bond from you for its own inventory.
The majority of bonds pay interest twice a year until they mature. The right to receive interest payments is forfeited if a bond is sold before its maturity date.
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Answer:
Usually, when a price ceiling is imposed, the demand for the product goes up. This can cause a shortage of products because of their high-demand. Conversely, the opposite occurs when a price floor is imposed.
Answer:
a) Assets and expenses
Explanation:
As we know that
The debit portion report assets and expenditures side while sales revenue, stockholder equity, and the liability side are reported in the credit portion.
So by above information, we can conclude that the assets and expenses have a normal debit balance, while other options involves both accounts credit balance or one account has a debit balance and the other account has a credit balance
Answer:
a. The product must be sold
Explanation:
Total revenue and total expenses are recorded in the income statement.
If the total income exceeds than the total expenditure then the company earns net income And if the total income is less than the total expenditure then the company has a net loss.
The product includes direct material cost, direct labor cost ,and the manufacturing overhead cost. If the product cost is not sold then it is shown in the asset side of the balance sheet as an inventory
And, if the product is sold, the same is subtracted from the cost of goods sold and shown in the income statement
