Answer:
A) It is subtracted from the Bonds Payable balance and shown with long-term liabilities on the balance sheet
Explanation:
The discount on Bonds payable, as their name implies, decrease the Bonds Payable carrying value. A bond with discounts, was issued at a lower price than his face value. The discount on bonds represent that difference.
It takes amortization while the time past, until at maturity, their balance is zero, to represent the reality, the obligation for the company is for the face value, so the carrying value of bonds payable should equal the face value.
Last, because the bonds are due in ten-year their place is the long-term liabilities. As their obligation are not within the 12 month period to qualify as short-term
Answer:
Total amount collected = $94,400
Explanation:
Given:
1st investment = $25,000
2nd Investment = $35,000
3rd investment = $45,000
Computation of total amount:
Total amount collected = $94,400
Answer:
Variable overhead efficiency variance= $3,000 favorable
Explanation:
<u>To calculate the variable overhead efficiency variance, we need to use the following formula:</u>
Variable overhead efficiency variance= (Standard Quantity - Actual Quantity)*Standard rate
Standard quantity= 3*15,000= 45,000 hours
Actual quantity= 44,000 hours
Standard rate= $3 per hour
Variable overhead efficiency variance= (45,000 - 44,000)*3
Variable overhead efficiency variance= $3,000 favorable
Answer:
$444,000
Explanation:
current earnings and profits = (taxable income - income taxes) - meals expense + tax exempt income = ($600,000 - $155,000) - $3,000 + $2,000 = $444,000
Disallowed expenses are expenses made by an individual or company that the IRS doesn't allow to be deducted, e.g. meals. Tax exempt income is income that is not taxed by the IRS, e.g. DRD includes at least 70% of dividends received.
Deferred gains or unearned revenues are considered a liability and are not included in the income statement.
Answer:
The cost recorded for the equipment=$229,550
Explanation:
The total recorded cost of the automatic equipment has to include the purchase cost and other additional associated costs that come with the equipment. This can be expressed as;
T=P+A
where;
T=total cost
P=purchase cost/invoice cost
A=additional costs(electrical work cost+delivery cost+sales tax+repair cost)
In our case;
T=unknown
P=$190,000
A=(20,000+4,000+13,700+1,850)=$39,550
replacing;
T=190,000+39,550=229,550
The total cost=$229,550
The cost recorded for the equipment=$229,550
