Answer:
The journal entry to record issuance of the bond would be:
Debit : Cash $382,942.
Credit : Bonds Payable $382,942.
Explanation:
At Issuance of Bonds, we recognize the Cash Asset and the Liability Bond Payable at the Issue Price of the Bond instead of Face Value.
The Issue Price is also known as the Present Value or Current Price of the Bond and for this question this was given as $382,942.
Answer:
b) A decrease in ownership percentage from 25% to 15%
Explanation:
There is change in accounting method when the shareholding is 20% or more.
Under Consolidation there are two methods:
Equity method: This is used when the shareholding is 20% or more, and there is significant influence. Under this method all the assets and liabilities are accumulated in the consolidated balance sheet.
Proportional Consolidation method: This is generally used when the shareholding is merely shown as an investment, and the balances of assets and liabilities are not accumulated.
Thus, there is a change in method of accounting when the shareholding is more than 20%. This is in case b as change is from 25% to 15% and thus, it will change from equity method to proportional consolidation method.
Answer: B. Address the concerns of all members of the buying center with particular attention to the decision maker.
Explanation:
If a person is making an attempt to sell the Markham publishing, then he/she has to take into consideration all the possible factors that maybe able to affect each person in the buying center, but the factors affecting the decision maker should be given special consideration.
Thus, Address the concerns of all members of the buying center with particular attention to the decision maker.
The first one is
a. 105
because .07 x .5 x 3000 is equal to 105.
I'm not sure about the second one though.
Answer:
17.27 years
Explanation:
For this question we use the NPER formula that is shown on the attachment below:
Provided that
Present value = $340,000
Future value = $25,000
PMT = $35,000
Rate of interest = 7.5%
The formula is shown below:
= NPER(Rate;PMT;-PV;FV;type)
The present value come in negative
So, after solving this, the number of year is 17.27 years
