<span>With a Net 30 payment policy, but an average collection period of 75 days with customers, Hanson's furniture store, should either reduce their store credit option, and encourage approximately 45% of their store credit customers to pay upon receipt, or shorten their operating cycle.</span>
You can divorce or seperate.
Answer:
The correct answer is option A.
Explanation:
In the process of production, several inputs are used to create outputs. These inputs may or may not be varied in the short run. Those inputs that can be varied are called variable inputs, for instance, labor.
Those inputs that cannot be varied in the short run are called fixed inputs. For instance, capital, machinery, etc.
The cost incurred on variable inputs is called a variable cost. This cost changes with the change in the quantity of output produced. The quantity of output varies with the quantity of input employed and so does variable cost.
Answer:
Explanation:
Preparation of all journal entries made in 2017 related to the bond issue.)
Jan.1
Dr Cash $618,000
Cr Bonds Payable $618,000
Cr Premium on Bonds Payable. $8,000D
c.3 Interest Expense $59,100
Dr Premium on Bonds Payable $900
($18,000 *$20)
Cr Interest Payable $60,000
($600,000 × 10% = $60,000)
Answer:
Ans. The price of the bond immediately after it makes its first coupon payment is $1,068.02
Explanation:
Hi, we have to bring to present value the remaining cash flows, that is 9 coupons and its face value, so we need to use the following equation.
Where:
Coupon = 0.07*$1,000=$70
YTM = Yield to maturity, in our case 6% or 0.06
n = 9 (since the bond is paying every year and there are 9 years left until maturity)
Face Value= $1,000.
Everything should look like this
Therefore:
So, the price of this bond right after paying its first coupon is $1,068.02
Best of luck.
