1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
tekilochka [14]
3 years ago
10

On January 1, 2019, Tonika Company issued a five-year, $10,000, 8% bond. The interest is payable annually each December 31. The

issue price was $9,611 based on an 9% effective interest rate. Tonika uses the effective-interest amortization method. The interest expense on the income statement for the year ended December 31, 2019 is closest to:
Business
1 answer:
Alex777 [14]3 years ago
4 0

Answer:

So book value at the end of December will be $9676

Explanation:

We have given amount of the bond = $10000

Rate of interest = 8 %

So interest paid Interest paid = 10000×0.08 = 800

Issue price = $9611

Effective interest rate = 9 %

Interest expense = 9611×0.09= 865

Discount amortization = 865-800 = 65

Book value at the end of December 31,2019 = 9611+65 = 9676

You might be interested in
Autoliv produces air bag systems that it sells to automobile manufacturers throughout the world. Assume the company has a capaci
gogolik [260]

Answer: See explanation

Explanation:

a. The variable cost per unit will be:

= (3,825,000 - 3,680,000) / (45million - 40 million)

= 0.029

Then, the financial order of accepting the order will be:

Contribution margin = Unit selling price - Unit

= 65 - 29

= 36

Since the size of the order is 100,000, the financial impact of accepting the order will be:

= 36 × 100,000

= 3,600,000

b. The differential analysis will be:

Contribution from special order = 3,600,000

Opportunity cost {100,000 = 120,000,000 - 29,000,000 = 9,100,000

Net disadvantage of accepting order will then be:

= 3600000 - 9100000

= 5,500,000

5 0
3 years ago
Suppose your company sells services of $170 in exchange for $130 cash and $40 on account. Depreciation of $60 relating to equipm
mario62 [17]

Answer and Explanation:

Q2) Calculate the amount that should be reported as net cash flow from operating activities:

Account Receivables = $40

Depreciation = $ 60

Since there is an in Account Receivables therefore it will be negative

Since depreciation is a non cash expense, therefore, it will be added

$60 - $40 = $20 (Net Cash flow from operating activities)

Q3) Amount as net income:

Revenue = $170

Depreciation ($60)

Net Income = $110

Q4)

Net inome = $170

Depreciation = $60

Increase in Accounts Receivables = ($40)

Net Cash flow from operating activities = $190

5 0
3 years ago
What is an easy way to convert an hourly wage into an approximate full-time annual wage?
polet [3.4K]
Convert Hours per shift into total days worked for a week then convert it into total 365 - Days working + Hourly Pay
8 0
3 years ago
Whats a good way to start a business
aniked [119]

Answer:

first find a business idea and make a plan (logo, name, what item ur selling..etc.)

8 0
3 years ago
When businesses collect demographic information on where people live, what they buy, and how they spend their time, they are res
snow_tiger [21]

Answer:

Social environment.

Explanation:

When businesses collect demographic information on where people live, what they buy, and how they spend their time, they are responding to the social environment. The social environment comprises of values, beliefs, practices, customs and behaviors of a group of people living together in a society and how their actions influence their surroundings or environment.

Demographics can be defined as the study and analysis of the characteristics of a population based on pre-defined factors such as education, race, income, sex or gender, and age.

Additionally, businesses gather, analyze and use demographic informations about people in the target market so as to have a competitive edge or advantage and to help build a strong relationship.

7 0
3 years ago
Other questions:
  • When making a location decision at the country​ level, which of these would be​ considered?
    6·1 answer
  • Tanya buys a certain brand of soft drink only when she gets discount coupons for it. she discontinues purchasing it when the dis
    15·1 answer
  • Vonda and Aleiyah are shopping together at the mall for new jeans. Vonda is willing to pay $90 and Aleiyah is willing to pay $50
    10·1 answer
  • A firm's marginal cost curve Group of answer choices always has a positive slope. always intersects its average cost curve at it
    5·1 answer
  • How are employment and education related.<br>​
    9·1 answer
  • 1. Which generally accepted accounting principle (GAAP) requires the use of depreciation for assets that have useful lives beyon
    7·1 answer
  • TRUE OR FALSE: Take-home pay minus total living expenses equals money available for savings and investment
    15·1 answer
  • Kimberly has been helping Jonah in preparing his personal income tax forms for a couple of years. Jonah's boss recommended Kimbe
    12·1 answer
  • Current profit Blank______ and target Blank______ are two strategies used by firms that are pursuing a profit pricing objective.
    14·1 answer
  • The Walton family got a great deal on their new home. They bought it for $101,295, and it appraised at $187,000 in a region wher
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!