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3 years ago

The following is a partial unadjusted Trial Balance.

Business

1 answer:

PilotLPTM [1.2K]3 years ago

5 0

Answer:

Supplies Expense 12500

Explanation:

<em>Bravo Unlimited</em>

<em>Adjustment Entry</em>

Date Particulars Debit Credit

February 29 Supplies Expense 12500

Supplies Account 12500

( Opening bal+ purchases- Ending bal= Expense= 2000+ 12000- 1500= 12500

At the month end Supplies were used for $ 12500 and supplies on hand are $ 1500.

On 2nd Feb the supplies account totalled $ 14000 but $5000 supplies had been expensed so the total amount of supplies used up is calculated by (Opening bal+ purchases- Ending bal= Expense) the formula given above.

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3 years ago

James Corporation is planning to issue bonds with a face value of $502,500 and a coupon rate of 6 percent. The bonds mature in 7

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Answer:

Bond Price = $563,333.90007 rounded off to $563,333.90

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Explanation:

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a. Case A: Market interest rate (annual): 4 percent

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Total periods remaining (n) = 7 * 2 = 14

r or YTM = 4% * 6/12 = 0.02 or 2%

Bond Price = 15075 * [( 1 - (1+0.02)^-14) / 0.02] + 502500 / (1+0.02)^14

Bond Price = $563,333.90007 rounded off to $563,333.90

b. Case B: Market interest rate (annual): 6 percent

Coupon Payment (C) = 502500 * 0.06 * 6/12 = $15075

Total periods remaining (n) = 7 * 2 = 14

r or YTM = 6% * 6/12 = 0.03 or 3%

Bond Price = 15075 * [( 1 - (1+0.03)^-14) / 0.03] + 502500 / (1+0.03)^14

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Coupon Payment (C) = 502500 * 0.06 * 6/12 = $15075

Total periods remaining (n) = 7 * 2 = 14

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Bond Price = 15075 * [( 1 - (1+0.0425)^-14) / 0.0425] + 502500/(1+0.0425)^14

Bond Price = $437232.16025 rounded off to $437232.16

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3 years ago

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Answer:

A) True

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Answer: The answers to the question are provided below.

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3 years ago

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Answer

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Step-by-step explanation:

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