Answer:
The journal entry to record the issuance of bond is shown as:
Dr Bank $783,845
Cr Bonds payable $700000
Cr Bonds premium $83845
Being issuance of bonds for cash
Subsequently,coupon interest is calculated is on the par value of $700000 at 11% while effective interest of 8% is calculated on $783,845
Explanation:
Upon issuance of the bonds,the receipt of cash of $783,845 is debited to bank account as an increase in asset.
The obligation to redeem the bond on 1 January 2025 is credited to bonds payable at par value of $700000(an increase in liability)
However, cash received is more by $83,845 which is credited to bonds premium account.
The answer to this question is Shortages.
Price control put a limit on how high the price could be put by the sellers toward a certain product.
This limitation often make produces feel discouraged in selling those products because of the lower profit which make the market experience a shortage in that products
The answer is: D. external shocks
External shocks refers to very unpredictable events that might influence a business in a certain direction (could be positive or negative), Example of external shocks would be things such as natural disaster or attacks from other country.
Since external shocks might never happen to a business, they could not be considered as a part of business cycle.
Answer:
import tariff is the answer
Answer:
Option C=> Jasmin has no taxable income for the Pinkstey Corporation stock in year 4.
Explanation:
So, here are the main information given in the question above that is going help us on solving the question and they are;
(1)."Jasmin purchased 100 shares of Pinkstey Corporation (publicly traded company) on January 1 of year 1 for $5,000."
(2). ''The FMV of the shares at the end of year 1 was $6,000.''
(3). "On January 1 year 4, Pinkstey Corporation declared a 2-for-1 stock split when the fair market value of the stock was $65 per share."
(4)." On January 1 of year 5, Jasmin sold all of her Pinkstey Corporation stock when the fair market value was $40 per share."
So, in the statement (3) above where Pinkstey Corporation declared a 2-for-1 stock split, Jasmine will no longer receive income for a period of the 4th year.
Also, Jasmine now have 200 shares instead of the 100 shares originally purchased in statement (1) above in Pinkstey Corporation.
