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lara31 [8.8K]
3 years ago
13

Kaselitz Corp. issued a $100,000, 9%, 5-year bond on 1/1/16. Interest is paid each June 30 and December 31. The bond sold for $1

04,055 to yield 8%. The effective interest method is used. Cash interest paid to the bondholders in 2016 is:
Business
1 answer:
Paladinen [302]3 years ago
5 0

Answer:

Cash interest paid to the bondholders in 2016 is $9,000

Explanation:

The cash interest paid on the bond can be ascertained using the below coupon amount formula:

cash interest=face value*coupon rate

face value of the bond is $100,000

coupon rate is 9%

cash interest=$100,000*9%=$9,000

The cash account would be credited while interest expense is debited with $9000 plus amortization of premium on bonds

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Advantages of road transport over rail transport
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Answer:

road transport offer door to door service while rail transport can't offer

8 0
3 years ago
The following are all examples of abnormal items disclosed by the company, except: (4 points) A) Goodwill Impairment Charges B)
kari74 [83]

Answer:

Correct Answer:

B) Royalty Expense

Explanation:

<em>A royalty is a payment made by one party, franchisee to another that owns a particular asset, franchisor for the right to ongoing use of that asset. The expenses incurred in executing this payment is called royalty expenses.</em>

7 0
2 years ago
What will be the resulting change in equilibrium of the chocolate bar market
myrzilka [38]

Equilibrium price will increase and quantity will decrease will be the resulting change in the equilibrium of the chocolate bar market.

The equilibrium charge is the rate at which the amount demanded equals the amount supplied. It's far decided through the intersection of the demand and deliver curves. A surplus exists if the amount of an excellent or carrier provided exceeds the amount demanded on the contemporary charge; it causes downward strain on the charge.

Equilibrium is the nation wherein market supply calls for balance every other, and as a result, costs come to be strong. Typically, an over-supply of goods or services causes expenses to move down, which results in a higher call for—while an underneath-deliver or shortage causes fees to head up resulting in less demand.

Upward shifts inside the supply and demand curves have an effect on the equilibrium rate and amount. If the deliver curve shifts upward, meaning deliver decreases however demand holds constant, the equilibrium rate will increase but the quantity falls.

Learn more about the Equilibrium price here brainly.com/question/26075805

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3 0
1 year ago
Internal controls are designed to accomplish five objectives that include compliance with legal​ requirements, promote operation
Ira Lisetskai [31]

Answer:

<u>Ensure accurate reliable accounting records</u>

Explanation:

Internal controls refer to those processes and procedures employed by the management of an entity so as to ensure efficient operations and to keep a check on frauds and compliance with better reporting requirements.

For example, biometric system of recording employee attendance which keeps a check as in who is actually on payroll and elimination of any dummy entries from the records.

The purpose of internal control is to safeguard assets, ensure that employees adhere by company policies, compliance with the law, promote operational efficiency and ensure reliable financial reporting without misrepresentation of facts.

3 0
2 years ago
As the operations manager for American Airlines you have decided to invest in 10 new jets for the company's fleet. There are thr
3241004551 [841]

Answer:

0.17

Explanation:

The computation of the expected return on investment is shown below:

= (Expected return of the outcome 1 ×  Probability of the outcome 1) + (Expected return of the outcome 1 ×  Probability of the outcome 1) + (Expected return of the outcome 1 ×  Probability of the outcome 1)

= (0.15× 0.50) + (0.25 × 0.30) + (0.10 × 0.20)  

= 0.075 + 0.075 + 0.02

= 0.17

5 0
2 years ago
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