Answer:
The value of the settlement is $ 62,604.06
Explanation:
The value of the settlement is the present values of all cash flows less lawyer's fees of $10000
In discounting the cash flows, I used the Present Value formula,which is:
PV=FV/(1+r)^n
FV =future value,amount receivable at each point time
r=rate of return=6%
n is the applicable number of years to each future value amount, for instance the $30000 last payment is receivable in the eleventh year,hence n is 11 years
The settlement value is the figure in the excel spreadsheet attached.
Answer:
Dr Cash account 50,000
Cr Bonds Payable account 50,000
Explanation:
The company received $50,000 in cash. Since cash is an asset and it increased when the bonds were issued, it should be debited.
The company has to pay bonds worth $50,000. Since bonds payable is a liability and it increased when the bonds were issued, it should be credited.
Answer:
she should buy 4 As and 3 Bs
Explanation:
utility per dollar
flower A flower B total money spent
1 flower 8 10 $5
2 flowers 7.5 7.67 $10
3 flowers 7 6.78 $15
<u>4 flowers 6.5 $17</u>
total 29 24.45 $17