Answer:
A gain of $2, 500 will be reported on the income statement.
Explanation:
When a bond is issued at par it means that there are no discounts or bond premium. Rather the bonds that are issued at par will be sold at face value.
This means that the bond's contract and market rates are equal.
Therefore in this scenario one fifth of the bond was sold at $97,500.
Value of the bond is $500,000, so the market value of portion of bond sold is:
(1/5)* 500,000= $100,000
However the amount payable is $97,500
Profit made= Market price - Amount payable
Profit made = 100,000 - 97,500= $2,500 gain
Answer: 11.88%
Explanation:
Hiker's effective interest rate on this loan will be calculated as:
Interest = Amount × Discount rate × 8/12
= 112000 × 11% × 8/12
= 112000 × 0.11 × 0.667
= 8217.44
= 8217 approximately
Effective interest rate will then be:
= (Interest / Amount - Interest) × 12/8
= 8217 /(112000 - 8217) × 3/2
= 8217/103783 × 1.5
= 0.0791748 × 1.5
= 0.1187622
= 11.88%
Answer:
a. is the change in total satisfaction derived from consuming one more unit of a good.
Explanation:
Marginal utility: It defines as changes in total satisfaction of consumers with one additional unit changes in the consumption of goods. It derives satisfaction level of consumer with the units of goods consumed, similarly usage of product changes with the number of the product we have in stock or purchased.
Formula; Marginal utility= 
There are several types of marginal utility:
- Zero marginal utility.
- Positive marginal utility.
- Negative marginal utility.
- Increasing marginal utility.
- Diminishing marginal utility.
Answer:
The answer is: E) a highly authoritarian personality.
Explanation:
A person with a highly authoritarian personality believes in extreme obedience and total unquestioning respect for authority. They are also very submissive to the authority of the leader figure. They also tend to have extreme beliefs in what they consider right or wrong, no gray areas, and they dislike completely those who think differently.
Answer:
Explanation:
For recording of the journal entry, first we have to compute the tax payable amount which is shown below:
Pretax accounting income tax expense = pretax accounting income × tax rate
= $210,000 × 40%
= $84,000
Tax payable for taxable income = Taxable income × tax rate
= $155,000 × 40%
= $62,000
Now, the journal entry would be:
Income tax expense A/c Dr $84,000
To Income tax payable $62,000
To Deferred tax liability $22,000
(Being income tax expense recorded)
The remaining amount has come under deferred tax liability.
