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3 years ago

Karen Company had the following account balances prior to the write off of a $100 customer account:

Business

1 answer:

IRINA_888 [86]3 years ago

7 0

Answer:

A) $9,100, $9,100

Explanation:

Calculation for the net realizable value of the receivables before

Accounts receivable $9,500

Less Allowance for doubtful accounts 400

Net realizable value of the receivables BEFORE $9,100

Calculation net realizable value of the receivables after the write-off

Accounts receivable $9,500

Less Allowance for doubtful accounts 400

Net realizable value of the receivables AFTER $9,100

Therefore The net realizable value of the receivables before and after the write-off was

$9,100, $9,100

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Cullumber Company provides the following information about its defined benefit pension plan for the year 2017. Service cost $ 90

Llana [10]

Answer:

$102,080

Explanation:

Given that,

Service cost = $90,500

Interest rate = 9 %

Expected return on plan assets = $62,800

Prior service cost amortization = $10,300

Projected benefit obligation at January 1, 2017 = $712,900

Pension expense for the year 2017:

= Service cost + Interest cost - Expected return on plan assets + Prior service cost amortization

= $90,500 + ($712,900 × 9%) - $62,800 + $10,300

= $90,500 + $64,080 - $62,800 + $10,300

= $102,080

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3 years ago

Question 5 of 10

LekaFEV [45]

C you’re taking a class to show you want to have more skill

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3 years ago

Modern corporation operates a steel mill. it has never contributed anything to the local community, and it knowingly pollutes bo

svetlana [45]

I guess the correct answer is the narrow view, or invisible hand theory .

The narrow view, or invisible hand theory, holds that producing profit is more important than being socially responsible.

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3 years ago

With a framework in place, controls and risk become more measurable. The ability to measure the enterprise against a set of stan

weeeeeb [17]

Answer:

True

Explanation:

When a company as a framework to measure risk against, it can properly assess risk in different periods of time, depending of the risk score obtained within the framework.

This helps regulators because they can access an accurate primary information from the company itself (later on, they should probably compare that information against their own standards in order to prevent bias), and it also helps the company because it can see where it stands in terms of risk, which reduces uncertainty.

7 0

3 years ago

A $ 1 comma 000 bond with a coupon rate of 6.2% paid semiannually has two years to maturity and a yield to maturity of 6%. If

pav-90 [236]

Answer:

As a result of a fall in interest and YTM, the bond price will increase by $15.04

Explanation:

To calculate the change in price due to fall in interest rate, we must first calculate the price of the bond before and after the fall of interest rates.

To calculate the price of the bond, we need to first calculate the coupon payment per period. We assume that the interest rate provided is stated in annual terms. As the bond is a semi annual bond, the coupon payment, number of periods and semi annual YTM will be,

Coupon Payment (C) = 1000 * 0.062 * 0.5 = $31

Total periods (n)= 2 * 2 = 4

r or YTM = 6% * 1/2 = 3% or 0.03

The formula to calculate the price of the bonds today is attached.

Before Interest rates Fell

Bond Price = 31 * [( 1 - (1+0.03)^-4) / 0.03] + 1000 / (1+0.03)^4

Bond Price = $1003.717098 rounded off to $1003.72

After Interest Rates Fell

New YTM = 6% - 0.8% = 5.2% or 0.052

Semi Annual YTM = 0.052 * 0.5 = 0.026

Bond Price = 31 * [( 1 - (1+0.026)^-4) / 0.026] + 1000 / (1+0.026)^4

Bond Price = $1018.764647 rounded off to $1018.76

Change in Bond Price = 1018.76 - 1003.72 = $15.04

As a result of a fall in interest and YTM, the bond price increased by $15.04

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3 years ago