Answer and Explanation:
1. The computation of issuer's cash proceeds is shown below:-
Cash proceeds = Par value × Selling price
= $280,000 × 117.25%
= $328,300
2. The computation of total amount of bond interest expense is shown below:-
30 payment of $14,000 = $420,000
Semi-annual interest payment = Par value × Issued percentage ÷ 2
= $280,000 × 10% ÷ 2
= $14,000
Total repayment = $420,000 + $280,000
= $700,000
Total bond interest expense = Total repayment - amount borrowed
= $700,000 - $328,300
= $371,700
3. The computation of the amount of bond interest expense is shown below:-
Amount of bond interest expense = Semi-annual interest payment + Discount amortization
= $14,000 + ($280,000 - $328,300) ÷ 30
= $14,000 -$1,610
= $12,390
Since it is semi annual so we half the rate and doubles the time period
Answer:
Environmental management can make firms more effective in many ways
Explanation:
Answer:
Consider capital to start and the identifiable gap
Explanation:
U cant start business in a short time until u have
- A business idea
- A business plan
- Identifiable gaps available
- Capital availability
The average variable cost is 2400 because if you multiple 200 times 12 you will get 2400
Answer:
d). The lessee must increase the present value of the minimum lease payments by the present value of the option price.
Explanation:
The bargain purchase option refers to the clause mention in a lease contract or agreement which provides the lessee 
or buy a leased asset from a person at the end of the 
at a price which is substantially below its 
.
In bargain purchase option, the present value of a 
can be increased by bargain purchase option. So the lessee must 
the present value of by the present value of the 
This is the impact of the bargain purchase option on the present value of .
Thus, the correct option is (d).
