Answer: Quarterly
Explanation:
Annual interest rate = 4.00%
Effective annual rate = 4.08%
To know if the bank is compounding interest daily or quarterly goes thus:
Effective Annual rate can be calculated using:
= (1+Periodic rate)^number of compounding periods - 1
Therefore, we calculate the daily compounding effective annual rate which will be:
= (1+4%/365)^365 - 1
= (1 + 0.04365)^365 - 1
= 4.08%
For Quarterly EAR, this will be:
= (1+4%/4)^4 - 1
= (1 + 0.04/4)^4 - 1
= 4.06%
Therefore, the a bank is compounding interest Quarterly
Answer:
December 31, 2020
- Dr Bad Debt expense 18,690
- Cr Allowance For Doubtful Accounts account 18,690
Explanation:
First we need to determine the total amount of uncollectible accounts receivable = $385,600 x 6% = $23,100
Then we must subtract the amount already recorded in allowance for doubtful accounts from our total uncollectible accounts = $23,100 - $4,410 = $18,690
We have to debit the difference and credit the contra asset account:
Dr Bad Debt expense 18,690
Cr Allowance For Doubtful Accounts account 18,690
If carrie's company manufactures household appliances under the brand names best baker and crafty cook, as well as cleaning supplies under the names refresh and mrs. patton's cleaning supplies. this description details carrie's company's product mix.
<h3>What is product mix?</h3>
A product mix can be defined as the amount of products that are related that a company produced or manufactured under the same company brand.
Most companies tend to make use of product mix by producing items that are similar using the same company brand name for all their items just as in the given scenario in which the company produces or manufactures best baker and crafty cook under the same brand names.
One of the advantage of making use of product mix is that it enables companies to easily get to their customers.
Therefore we can cocnclude that the scenario best illustrate an example of product mix.
Learn more about product mix here: brainly.com/question/10711348
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Answer:
May 10, 2020, 1,900 shares issued at $13
Dr Cash 24,700
Cr Common stock 7,600
Cr Additional paid in capital 17,100
The common stock account increases using the pay value as reference. For example, if the common stock account = $200,000 and the par value of the stocks = $4, then we know that the company has 50,000 common stocks outstanding.
If investors pay any amount over the stocks' par value, that amount must be reported as additional paid in capital, in this case for common stock.
