Answer:
The correct option is Debit Cash $1,864,097; debit Discount on Bonds Payable $135,903; credit Bonds Payable $2,000,000.
Explanation:
This question is an instance of bonds issued at a discount. This happens when a bond is issued below the face value of the bond and also happens when the coupon rate on the bond payable is less than the market rate.
The face value of the bond payable is $2,000,000 while the market value is $1,864,097, so there is a discount of $2,000,000 - $1,864,097 = $135,903 on the bond payable, which is to be amortized over the life of the bond payable.
So, the appropriate journals to record this transaction is as provided above.
The appropriate reflection of the cash transactions between these reporting entities is as follows:
John Hamilton Sauce-it-up Stone Creek Bank
Cash +$500,000 $450,000 -$500,000
-$450,000
Balance $50,000 $450,000 -$500,000
<h3>What is a reporting entity?</h3>
A reporting entity is an economic unit that publishes general purpose financial reports to enable users make and evaluate their decisions about the allocation of scarce resources.
Thus, John Hamilton's cash holding increased by $50,000 net. The cash holding of Sauce-It-Up increased by $450,000 while the cash holding of Stone Creek Bank decreased by $500,000.
Learn more about cash flows of reporting entities at brainly.com/question/24179665
Answer:
$69,075
Explanation:
James Corporation
Merchandise remaining in James’s inventory:
$307,000 × 50% = $153,500
Intra-entity gross profit:
$153,500 × 45% = $69,075.
James’s ownership percentage of Carl will have no impact on this computation.
Therefore the amount of intra-entity gross profit in inventory at December 31 that should be eliminated in the consolidation process is $69,075
In this video, kevin describes ERP as a set of integrated software modules that support nearly all of their organization's business processes.
A business is an activity that makes a living or makes money by manufacturing or buying and selling products. It is also "any activity or business carried on for profit."
A company is an organization or company engaged in commercial, industrial, or professional activities. A business can be either a commercial enterprise or a non-profit organization. Legal forms range from limited liability companies to sole proprietorships, corporations and partnerships.
The definition of business is the profession or trade, the buying and selling of goods or services for profit. A business example is agriculture. An example of a transaction is the sale of a home. noun.
Learn more about business here:brainly.com/question/24553900
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Answer:
B
Explanation:
Payback period is the total time it takes an organization to recover the initial capital incurred in acquiring an asset.
It is expressed in years and fraction of years.
Initial investment 20,000
Year 1 3000 17000
Year 2 8000 9000
Year 3 15,000
9000/15000= 0.6 years
The payback period = 2.6 years
