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3 years ago

1. David has a monthly net income of $1,360. His fixed monthly expenses consist of a rent

Business

2 answers:

xz_007 [3.2K]3 years ago

8 0

Answer:

Answer is $156.

Therefore,

Refer below for the explanation.

Explanation:

As per the question,

Net income is $1360,

Monthly rent $450,

Student loan $116.

As he buys a tv set with credit card and he has student loan so he has safe debt load of 20%.

Solution,

1360×20%=272.

As he already pays student loan so,

272-116=156.

So he can pay $156.

zalisa [80]3 years ago

6 0

Answer:

The largest monthly payment he can afford for the T.V set in order to be kept within a safe load of 20% is $156

Explanation:

Before we calculate, let us extract the key information from this question:-

*** David's monthly net income is $1,360

*** David pays a monthly rent of $450

*** He is paying off a student loan which costs him $116 per month.

*** He intends purchasing a new T.v set

*** We are simply required to determine the largest monthly payment that David can afford for the T.v set in order for him to be kept within a safe load of 20%.

In order to calculate the largest monthly payment that he can afford for the T.v set so as to be kept within a safe load of 20%, we will need to determine the actual amount that is twenty percent of his net income. If his net income is $1,360 then twenty percent of it is:

20/100 × 1360

= 27200/100

= $272

All we need to do now to find the largest monthly payment he can afford for the TV set is to subtract the student loan that he is paying off monthly ($116) from twenty percent of his net income ($272). That is:-

$272 - $116 = $156

Therefore the largest monthly payment that David can afford for the television set in order for his credit card payments and student loan to keep him within a safe debt load of 20% is $156.

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Park Corporation is planning to issue bonds with a face value of $2,002,000 and a coupon rate of 10 percent. The bonds mature in

andrezito [222]

Answer:

1. Dr Cash $2,253,934

Cr Bonds Payable $2,253,934

2. Dr Interest Expense $96,919

Dr Bonds payable $3,181

Cr Cash $100,100

3. $2,250,753

Explanation:

1. Preparation of the journal entry to record the issuance of the bonds.

January 1

Dr Cash $2,253,934

Cr Bonds Payable $2,253,934

(To record the issuance of the bonds)

2. Preparation of the journal entry to record the interest payment on June 30 of this year.

June 30

Dr Interest Expense $96,919

Dr Bonds payable $3,181

($100,100-$96,919)

Cr Cash $100,100

(To record the interest payment)

Workings:

$2,002,000 × 0.28689 = $574,354

$100,100* × 16.77902 = 1,679,580

Issue price = $2,253,934

Interest: $2,002,000 × .10 × 1/2 = $100,100

June 30:

Interest Expense: $2,253,934 × .0430 = $96,919

3. Calculation to determine what bonds payable amount will Park report on its June 30 balance sheet

Park Corporation Balance sheet (Partial) June 30

Long term Liabilities:

Bonds payable $2,250,753

($2,253,934-$3,181)

Therefore the bonds payable amount Park will report on its June 30 balance sheet is $2,250,753

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3 years ago

The primary responsibility of the board of directors is to __________. Select one: A. oversee the affairs of the organization B.

Paladinen [302]

The primary responsibility of the board of directors is to (D) make daily operational decisions.(The main responsibility of a Board of Director is to make day-to-day management decisions. )

Explanation:

The main responsibility of a Board of Director is to make day-to-day management decisions. The primary purpose of the board of directors is to safeguard the shareholders interest by maintaining detached, impartial oversight on management.

Some of the duties of Board Members are:

To develop the Organization's Mission and Purpose.
Another important duty is to Monitor and Manage Financial Resources.
To Recruit New Board Members.
To Spread positive word of mouth about t the Organization.

So we can Say that The primary responsibility of the board of directors is to (D) make daily operational decisions

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3 years ago

Which principle of design is used to modify the shape of a design

storchak [24]

Answer:

Principles applied to the elements of design that bring them together into one design. How one applies these principles determines how successful a design may be

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3 years ago

Suppose that weekly output is worth $1000, and labor and materials costs are $300 and $200,respectively. What is the multifactor

Georgia [21]

Answer:

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Explanation:

The multifactor productivity ratio can be determined using the below mentioned formula:

Multi factor productivity=Output worth/cost of material+cost of labor

In the given question:

Output worth=$1,000

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Multifactor productivity=$1,000/$500=2

So based on the above calculation, the answer is c. 2

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4 years ago

The Bell Weather Co. is a new firm in a rapidly growing industry. The company is planning on increasing its annual dividend by 2

Alecsey [184]

Answer:

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P0 = D0 * (1+g1) / (1+r) + [ (D0 * (1+g1) * (1+g2) / (r - g2)) / (1+r) ]

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P0 = 1 * (1+0.2) / (1+0.14) + [ (1 * (1+0.2) * (1+0.05) / (0.14 - 0.05)) / (1+0.14) ]

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3 years ago