When the goods are sold, their costs are transferred from work in process to finished goods. true or false?

Bond valuation [LO14-2] Your investment department has researched possible investments in corporate debt securities. Among the a

Sonbull [250]

Answer:

Bond Valuation

Other things being equal, the bond issue that offers the most attractive investment opportunity if it can be purchased at the prices stated is:

= BB Corp. bonds.

Explanation:

a) Data and Calculations:

Maturity period = 20 years

Issue date = January 1, 2021

Maturity date = December 31, 2040

Company Bond Price Stated Rate Annual Interest FV

1. BB Corp. $ 107 million 15 % $15 million $3,518,371,301.23

2. DD Corp. $ 100 million 14 % $14 million 2,827,106,832.58

3. GG Corp. $ 93 million 13 % $13 million 2,260,756,079.53

From an online financial calculator, the future values of the bonds are:

N (# of periods) 20

I/Y (Interest per year) 15

PV (Present Value) 107000000

PMT (Periodic Payment) 15000000

Results

FV = $3,518,371,301.23

Sum of all periodic payments $300,000,000.00

Total Interest $3,111,371,301.2

N (# of periods) 20

I/Y (Interest per year) 14

PV (Present Value) 100000000

PMT (Periodic Payment) 14000000

Results

FV = $2,827,106,832.58

Sum of all periodic payments $280,000,000.00

Total Interest $2,447,106,832.58

N (# of periods) 20

I/Y (Interest per year) 13

PV (Present Value) 93000000

PMT (Periodic Payment) 13000000

Results

FV = $2,260,756,079.53

Sum of all periodic payments $260,000,000.00

Total Interest $1,907,756,079.53

8 0

3 years ago

Greenleaf Manufacturers, Inc. projected sales of 86,000 machines for 2022. The estimated January 1, 2022, inventory is 7,500 uni

Burka [1]

the budgeted production (in units) for 2022 will be 98,100

Production + opening stock= sales+ closing stock

Production + 7,500= 86000 + 19600

Production = 98,100

What do you mean by production budget?

The sales forecast and the anticipated amount of finished goods inventory to be on hand are combined to create the production budget, which determines the number of products that must be made (usually as safety stock to cover for unexpected increases in demand).

How important budgeting is in production process?

A production budget aids the business in planning output levels for varying demand times. A corporation can use the downtime to make an extra products to have on hand for a future period when demand increases if it anticipates that demand and production levels will be low in a month.

Learn more about production budget: brainly.com/question/18803390

#SPJ4

3 0

2 years ago

15,000 units in a process that are 70% complete are referred to as:

KengaRu [80]

Answer:

(c) 10,500 equivalent units of production

Explanation:

Equivalent units of production helps manufacturing companies determine the average completed or finished products. Additionally, since there are many items in continuous production, without calculation of equivalent units, it would be difficult to determine how much money was incurred in production costs.

Using the formula

The number of partially completed units (15,000) x percentage of completion (70%) = equivalent units of production (10, 500)

5 0

3 years ago

The two giants of the non-alcoholic beverage industry are

VLD [36.1K]

Pepsi and coke they beefin

6 0

4 years ago

Thornton Corporation has extensive liabilities denominated in Cyprus pounds resulting from imports from Cyprus. However, Thornto

TiliK225 [7]

Answer: True

Explanation:

Translation exposure is also referred to as translation risk and this is when there will be a change in the value of the equities, assets, income or liabilities of a company due to the changes in the exchange rate. This typically happens when a portion of the

equities, assets, income or liabilities, of the company is denominated in foreign currency.

Since Thornton's revenues are denominated solely in U.S. dollars, therefore, Thornton Corporation does not have translation exposure.

4 0

3 years ago