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HACTEHA [7]
3 years ago
12

On January 1 of Year 1, Congo Express Airways issued $3,500,000 of 7% bonds that. pay interest semiannually on January 1 and Jul

y 1. The bond issue price is $3,197,389 and the market rate of interest for similar bonds is 8%. The bond premium or discount is being amortized at a rate of $10,087 every six months. The company's December 31, Year 1 balance sheet should reflect total liabilities associated with the bond issue in the amount of:
Business
1 answer:
ruslelena [56]3 years ago
8 0
We are given:

<span>Bond Value = $3,500,000
Bond Interest rate = 7% 
Semi-annual
Bond Issue Price = </span><span>$3,197,389 
Market Interest Rate = 8%
Amortization (semi-annual) = </span><span>$10,087

To determine the total liabilities associated with the bond, we need to convert the bond value to an amortization and add it with the existing amortization. 

We may use bond formula from economics.: 

Bond Value = Coupon * ( 1 - (1/ (1+r)^t) / r) + F/ (1 +r)^t

Input the values and solve for F.  </span><span />
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Marina86 [1]

Answer:

$24,160 favorable

Explanation:

The computation of the total contribution margin sales volume variance is given below:

The Budgeted contribution margin per pound of MT is

= $40 - $20

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Now the budgeted contribution margin per pound of ET is

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= $24  per pound

MT's contribution margin sales volume variance is

= (Actual sales quantity - Budgeted sales quantity) × Budgeted contribution margin per pound

= (3960 - 4000) × $20

= $800 Unfavorable

ET's contribution margin sales volume variance is

= (Actual sales quantity - Budgeted sales quantity) × Budgeted contribution margin per pound

= (5,040 - 4000) × $24

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Now the total contribution margin sales volume is

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= $24,160 favorable

8 0
3 years ago
When a temporary negative supply shock hits the economy​ ________.
Naddika [18.5K]

Answer:

C. the divine coincidence does not always hold

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When a temporary negative supply shock hits the economy the divine coincidence does not always hold.

7 0
3 years ago
many credit card companies will let you determine your interest rate when they approve for your card true or false
SashulF [63]

The answer to this is false because all they want is for you to use their card and then it will hurt you credit score because then you will have to pay interest rates.

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6 0
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Mashcka [7]

Answer:

a) Intelligence

Explanation:

Intelligence phase is the first phase in decision making process. It basically attempts to first identify what problems do the organization faces. What are the relevant opportunities for the organisation.

Performing the basic SWOT analysis is the basic aim of this stage. Though it  is not the complete SWOT analysis. But it identifies the opportunities, the data is collected then, and then the possible problems and hindrance are identified.

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Conserving energy because he used less energy than he needed and was saved to doing something else in the world! :D
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