Answer:
5.32 years
Explanation:
Particulars Amount
Sales $16,700
Less: Expenses <u>$7,300</u>
Profit before tax $9,400
Less: income tax <u>$3,760</u>
Net income $5,640
Add: Depreciation <u>$4,700</u>
Annual Cash flow <u>$10,340</u>
So, the payback period for the new machine = Total investment/Annual cash flow = $55,000 / $10,340 = 5.319148936170213 = 5.32 years
Answer:
Explanation:
The journal entries are shown below:
a)
Investment in bonds Dr A/c$120000
Interest receivable Dr A/c$ 1000
To Cash A/c $121000
(purchased of 5% bonds with accrued interest of $1000 on the bonds for cash is recorded)
b)
Cash Dr. A/c $3000 ($120,000 × 5% × 6 months ÷ 12 months)
To Interest receivable A/c $1000
To Interest Revenue A/c $2000
(Being the first semiannual interest payment is received)
c) Cash Dr A/c $61100 ($60,000 × 101 + $500)
To Investment in bonds $60000
To Interest Revenue $ 500
To Gain in sale of investment $600
( Being the sale of bond with accrued interest of $500 is recorded and the remaining amount will be credited to the gain in sale of investment)
When there's a signal of interest by the customer to move forward with in your product, you should <span>ask them a closing question. After you have asked if they have any additional questions you are able to close your conversation with a customer with a statement or </span>question. By asking a closing question you are letting the consumer know the conversation is ending and it's time to make a committed decision regarding the product.
Someone who affirms a contract by word or action and has the authority to act on someone else's behalf.