If the required rate of return is 7.2%, no such security shall be purchased.
<h3>What does the required rate of return mean?</h3>
The required rate of return is the expected percentage of returns on investment at the time the investment is made. The required rate of return, in this case, is 7.2%.
The actual returns earned from purchasing the security for $8000 and receiving returns of $3600 are calculated to be around a 3.6% return.
As a result, if the required rate of return on investment is 7.2%, the security should not be purchased.
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Answer:
A.
Notes Payable 200,000
Interest Payable 7,000
Cash 207,000
Explanation:
The Journal entry is shown below:-
Notes payable Dr, $200,000
Interest payable Dr, $7,000
To Cash $207,000
(Being pay off the note and interest at maturity is recorded)
Therefore for recording the pay off the note and interest at maturity we simply debited the notes payable and interest payable as it decreases the liability and we credited the cash as it also decreasing the assets.
<span>Budgeting ...Accounting. ...Marketing. ...Sales. ...Hiring Employees. ...Customer Service. Maybe!</span>
Answer:
Cooking
Explanation:
because cooking use heat. heat is a temperature and chemicals is gas.
Answer and Explanation:
The computations are shown below:
1. For annual implicit cost
= Earning annual salary + earned annual interest
= $80,000 + $500
= $80,500
2. For Annual accounting cost
= Explicit cost
= Direct expenses
= Office rent + rent of equipment + supplies + utilities + salary of a book keeper
= $15,000 + $3,000 + $1,000 + $1,200 + $35,000
= $55,200
3. For economic cost
= Accounting cost + implicit cost
= $55,200 + $80,500
= $135,700
4. For revenue
= Accounting profit + profit
= $55,200 + $50,000
= $105,200
5. For revenue
= Economic cost + profit
= $135,700 + $50,000
= $185,700