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ankoles [38]
3 years ago
14

The balance sheet of Indian River Electronics Corporation as of December 31, 2020, included 12.25% bonds having a face amount of

$90 million. The bonds had been issued in 2013 and had a remaining discount of $3 million at December 31, 2020. On January 1, 2021, Indian River Electronics called the bonds before their scheduled maturity at the call price of 102. Required: Prepare the journal entry by Indian River Electronics to record the redemption of the bonds at January 1, 2021. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in whole dollars.)
Business
1 answer:
Alexus [3.1K]3 years ago
3 0

Answer:

Bonds Payable (Dr.)  90,000,000

Loss on early extinguishment (Dr.) 4,800,000

Discount on B&P (Cr.) 3,000,000

Cash (Cr.) 91,800,000

Explanation:

The journal entry will be required to record the redemption of bonds of Indian Ricer Electronics Corporation.

Bonds Face Value = $90,000,000

Premium (102 - 100)  = $90,000,000 * 2/100 = $1,800,000

Total Cash Paid = $91,800,000

Loss on early extinguishment = $91,800,000 + $300,000 - $90,000,000

= $4,800,000  

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Complete the sentence. Mutual funds that impose a sales charge are called _____.
Evgesh-ka [11]

Answer:

Fee based fund  is the correct answer to the given question

Explanation:

In the fee based funds exercise the money is charged directly to customers.The Fee-Based Funds  is imposing the charge of sales to the customer .The Fee-based funds consultants could charge an extra  payment of fixed price according to the company policy .

  • When the company sells the mutual fund in a fee-based consideration individuals will buy the bond fund Series of the F units.
  • All the other options are not related to imposing the sales charge that's why they are incorrect option .

8 0
3 years ago
1. Select the correct statement regarding relevant costs and revenues.
Gala2k [10]

Complete Question:

1. Select the correct statement regarding relevant costs and revenues.

A. Sunk costs are not relevant for decision-making purposes.

B. Relevant costs are frequently called unavoidable costs.

C. Direct labor is an example of a unit-level cost.

D. Only variable costs are relevant for decision making.

Answer:

1. A

2. D

3. B

Explanation:

1. The correct statement regarding relevant costs and revenues is that sunk costs are not relevant for decision-making purposes. Sunk costs are the opposite of relevant costs because they can't be changed or recovered, as they've been spent or contracted in the past already. Hence, relevant cost are relevant for decision-making purposes but not sunk costs.

2. Expected future revenues that differ among the alternatives under consideration are often referred to as differential revenues. It is the difference in revenues among two (2) alternatives, which would influence decision making.

3. The benefits sacrificed when one alternative is chosen over another are referred to as opportunity costs. It is also referred to as alternative forgone.

<em>For example, Tony gives up going to see a new movie at the cinema in order to prepare for an examination, so as to get a good grade</em>.

8 0
3 years ago
A teacher has decided to take her fifth grade class to a play. The manager of the theater agreed to discount the regular ​$35 pr
MArishka [77]

Answer:

40 students

Explanation:

The cost of the bus is $480

For x students, the cost of each ticket will be 35 - 0.30x

The total cost of the tickets for x students will be x(35 - 0.30x)

To find the number of students that will make the cost per student equal to $33, we solve for x:

<u>480+ x(35 - 0.30x)</u>  =35

                x

480+ x(35 - 0.30x<u>)</u>   = 35x

480 + 35x - 0.30x²   = 35x

480                            = 0.30x²

1,600                          = x²

40                               = x

The cost per student will be $35 if the number of students is 40; it will be less than $35 if the number of students is greater than 40.

8 0
3 years ago
While waiting in line to buy two tacos at 75 cents each, and a medium drink for 80 cents, Emma notices that the restaurant has a
qwelly [4]

Answer:

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The marginal cost refers to the cost of an extra unit. In this case, if she decides to purchase two tacos and a medium drink, she would spend $2.30. The difference between this option and the value meal, that contains three tacos and a medium drink, is 20 cents. The marginal cost of purchasing the third taco if she takes the second option would be 20 cents. If she decides to buy the tacos and the drink for apart, the marginal cost or extra unit cost would be 75 cents.

4 0
3 years ago
Television advertisements typically portray the elderly as being
rosijanka [135]

Television ads usually portray the elderly as being vibrant, active, healthy, energetic, etc.

In television ads, things are usually depicted as being the opposite of what they are in real life. That, or television ads are meant to reinforce stereotypes. That's usually in more television shows, instead of advertisements though.

4 0
3 years ago
Read 2 more answers
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