Answer:
True
Explanation:
Order cycle time is the period between the two orders, i.e., previous order and next order. If there is an ample amount of demand for a product, the order cycle time of that particular product will be low. As customer wants the product very often, the inventory will become nil, and there will be a positive cash flow. As the inventory level decreases, the current assets will be lower. As customers pay quickly, the receivables will also remain lower.
Answer and Explanation:
a) Discount:
Carrying Value:$106,554
Face Value:($118,000)
Discount:($11,446)
Calculate Gain/Loss:
Carrying Value:$106,554
Redemption Price:($120,360)
[118,000*102]
Loss:(13,806)
April 30 2022
Dr Bonds Payable $118,000
Dr Loss on Redemption $13,806
Cr Discount on Bonds Payable $11,446
Cr Cash $120,360
(Record retirement of bond at loss.)
(b)Calculate Premium:
Carrying Value:$271,021
Face Value:($250,400)
Premium:$20,621
Calculate Gain/Loss:
Carrying Value:$271,021
Redemption Price:($240,384)
[$250,400*96]
Gain$30,637
June 30, 2022
Dr Bonds Payable $250,400
Dr Premium on Bonds Payable $20,621
Cr Gain on Redemption $30,637
Cr Cash $240,384
(Record retirement of bond at gain.)
Answer:
Contractionary monetary policy usually results in:
- lower money supply
- higher interest rates
- lower inflation rates
- lower investment rates
- lower nominal gross domestic product
- higher unemployment
- decrease in consumer spending
- aggregate demand curve shifts to the left
Answer:
Inventory at the end of march will be 150
Explanation:
We have given inventory at the end of April = 200 units
Expected demand during April = 50 units
Production expected during April = 100 units
We have to find the inventory at the end of march
Inventory at the end of April is given by
Inventory at the end of April = production in april - demand in april + inventory of march
So 200 = 100 - 50 + inventory of march
So inventory of march = 150
