All categories

2 years ago

A bond represents a debt for an organization. a. True b. False

Business

1 answer:

lilavasa [31]2 years ago

8 0

Answer:

a. True

Explanation:

An organization's capital is financed by the owners' funds known as equity or borrowed fund referred to as debt financing. An organization may borrow directly from lending institutions such as banks or can issue debt instruments through the financial markets. Bond is one of the debt instruments that companies issue to raise capital through financial markets.

A bond is an agreement between the bond issuer and the investor, where the issuer promises to pay the stated amount to the bondholder at the stated period. The investor buying the bond is equivalent to lending to the issuer. Bonds are a fixed income earner to the investors as they pay regular and fixed interest through their life. At maturity, the issuer pays the investor the maturity value of the bond.

You might be interested in

Magic Company adds materials at the beginning of the process in Department A. The following information on physical units for De

Dvinal [7]

Answer:

Equivalent units

a) Weighted average = 523,200 units

b) FIFO = 480,000 units

Explanation:

FIFO Method.

Fully worked units: These represent units of inventory that were started in a current period and completed that same period. The fully worked units are calculated in order to separate the opening inventory from the the newly introduced when accounting for completed units under the FIFO.

For magic company , fully worked units is

= 480,000 - 72,000 = 408,000 units

Equivalent units using Weighted Average

Here, there are no distinction between opening inventory and the newly introduced.

Equivalent Units

Completed unit (100%× 480,000) = 480,000

Closing inventory (60% × 72,000) = 43,200

Total equivalent units 523,200

Equivalent Units using FIFO

Item Equivalent Units

Opening inventory (40% × 72,000) = 28,800

Fully worked (100%× 408,00) = 408,000

Closing inventory (60% × 72,000) = 43,200

Total equivalent units 480,000 

Equivalent units

a) Weighted average = 523,200 units

b) FIFO = 480,000 units

8 0

3 years ago

Suppose you have two credit cards. The first has a balance of $415 and a credit limit of $1,000. The second has a balance of $21

gayaneshka [121]

In overall utilization ratio it takes all the credit limits and all the credit cards. For example, all the credit limits are $1000 + $750 = $1750. and the cards is $415 + $215 = $630.

To calculate for the credit utilization ratio we divide by the total credit limits on all cards then we multiply by 100. For example,

The first and second credit cards is $415 + $215 = $630.

The first and second limits is $1000 + $750 = $1750.

To get the percentage of the overall utilization ratio we get,

$630 / $ 1750 × 100 = 36%.

7 0

3 years ago

Read 2 more answers

Timothy wants to cut costs in his company to increase the profitability of production. Which tactic should Timothy utilize to cu

Oksanka [162]

Answer:

Explanation:

5 0

3 years ago

What will affect the amount of net pay you earn on your paycheck

photoshop1234 [79]

How much taxes they take off

8 0

2 years ago

The process of making decisions about goals and activities that an organization will pursue in the future is referred to as.

Anarel [89]

The process whereby a organization makes decisions about what they will do in the future is known as planning.

<h3>What is planning?</h3>

Planning simply means the process of thinking in order to achieve a desirable goal.

Planning is the process of making decisions about goals and activities that an organization will pursue in the future.

Organizations make plans in order to increase sales, revenue, etc.

Learn more about planning on:

brainly.com/question/25453419

6 0

2 years ago