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3 years ago

A Bond With An Annual Coupon Rate Of 55% Sells For $970. What Is The Bond’s "current Yield"?

Business

1 answer:

tatyana61 [14]3 years ago

4 0

Answer: Bond’s current Yield =56.7%

Explanation:

if the annual coupon rate = 55%

then the bond annual coupon payment assuming a 1000 par value will be

= 55% x 1000 = 550

Current yield = actual coupon payment / current bond price

= 550 /970= 0.567 = 56.7%

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At the beginning of the year, Vaughn Manufacturing estimates annual overhead costs to be $2400000 and that 300000 machine hours

anastassius [24]

Answer:

The amount of overhead applied during the year is $2,680,000

Explanation:

For computing the amount of overhead applied, the following computations are required which is shown below:

1. Compute the overhead cost per machine hour:

The formula is shown below:

= Annual overhead cost ÷ machine hours

= $2,400,000 ÷ 300,000

= $8

Now the amount of overhead applied equals to

= Actual machine-hours × overhead cost per machine hour

= 335,000 hours × $8

= $2,680,000

7 0

3 years ago

What is one reason individuals and corporations contribute so generously to charitable organizations?

Studentka2010 [4]

Answer:

Donations to charitable organizations are tax deductible.

Explanation:

The government see charitable organizations similarly as they view welfare programs , since it allocates a certain amount of wealth from the rich to the poor. This is why most countries in the world will allow charitable donations as tax deductible.

That being said, research conducted by Oxfam report actually showed that Companies actually use this rule as a loophole to escape tax payment. Their finding indicates that between 2008 -2014 alone, US corporations has use this loophole to hide around $1.4 Trillion worth of Taxes.

7 0

3 years ago

Required: 1. What is the standard labor-hours allowed (SH) to makes 20,000 Jogging Mates? 2. What is the standard labor cost all

svlad2 [7]

Answer:

1.6000 Hours

2. 102,000

3. $ 350 Unfav

4.$ 4250 Fav

5 a). $ 3.80 per hour

b) . $ 1000 Fav

Explanation:

Std hours allowed per unit: 18 min

Actual output: 20000 units

Std hours allowed for actuaal output (20000*18/60)= 6000 Hours

Std labour hourrs allowed =6000 hours

Std rate per hour: $ 17

Std labor cost allowed: (6000 hours @17)=102,000

Labour Spending Variancce: Std hours*Std rate - Actual hours*Actual rate

6000 *17 - 102350 = $ 350 Unfav

Actual labour rate per hour (102350/5750): $ 17.80 per hour

Labour Rate variance: Actual hours (Std rate-Actual rate)

5750 hrs (17.00-17.80)= $ 4600 Unfav

Labour efficiency variance: Std rate (Std hours-Actual hours)

17 (6000-5750)= $ 4250 Fav

Std Variable rate per hour: $ 4 per hour

Actual rate per hour (21850/5750)= $ 3.80 per hour

Variable rate variance: Actual hours (Std OH rate-Actual OH rate)

5750 (4.00-3.80)= $ 1150 Fav

Variable OH effience variance: Std rate (Std hours-Actual hours)

4.00 (6000-5750)= $ 1000 Fav

7 0

4 years ago

Presented below is a list of costs and expenses usually incurred by Barnum Corporation, a manufacturer of furniture, in its fact

quester [9]

Answer:

Explanation:

The direct material cost is the cost that is incurred for the raw material goods while the direct labor cost is the cost which is incurred for the labors like wages, salary. These two cost are directly related to the production of the product

And, the manufacturing overhead is an indirect cost that is indirectly related. Example: Depreciation on factory equipment, repairs of factory, etc

So, the categorization is shown below:

1. salaries for assembly line inspectors = Manufacturing overhead cost or direct labor cost

2. insurance on factory machine = Manufacturing overhead cost

3. property taxes on the factory building = Manufacturing overhead cost

4. factory repairs = Manufacturing overhead cost

5. upholstery used in manufacturing furniture = Direct material cost

6. wages paid to assembly line workers = Direct labor cost

7. factory machinery depreciation = Manufacturing overhead cost

8. glue,nails,paint, and other small parts used in production = Manufacturing overhead cost

9. factory supervisors salaries = Manufacturing overhead cost

10. wood used in manufacturing furniture = Direct material cost

3 0

3 years ago

Suppose that an income-producing property is expected to yield cash flows for the owner of $150,000 in each of the next five yea

damaskus [11]

Answer:

B) $ 1.449.635,50

Explanation:

YEAR 1: $150.000 PV= FV/(1+i)^n = $150.000/ (1+0,08)^1 = $138.888,89

YEAR 2: $150.000 PV= FV/(1+i)^n = $150.000/ (1+0,08)^2 = $128.600,82

YEAR 3: $150.000 PV= FV/(1+i)^n = $150.000/ (1+0,08)^3 = $119.074,84

YEAR 4: $150.000 PV= FV/(1+i)^n = $150.000/ (1+0,08)^4 = $110.254, 48

YEAR 5: $150.000+ $1.250.000= $1.400.000 PV= FV/(1+i)^n

PV= $1.400.000/ (1+0,08)^5 = $ 952.816, 48

TOTAL = $1.449.635,50

5 0

3 years ago