Answer:
1. The maturity value is $300,000
2. The carrying amount of the bonds is at December 31, 2018 is $264,000
3. Semiannual cash interest payment on the bond = $300,000 * 5% * 1/2 = $7,500
4. Discount on BP = $300,000 * 15% = $45,000
Straight line method amortization = $45,000 / ( 10*2 = 20) = $2,250
Interest Expenses = $7,500 + $2,250 = $9,750
Journal Entry Debit Credit
Interest Expenses $9,750
Discount on Bond Payable $2,250
Cash $7,500
Suppose your uncle shows you $100 today or $150 in 10 years. you would prefer to take the $100 today if the interest rate is <u>5 percent.</u>
<h3>What is the interest rate?</h3>
An interest rate is the quantity of interest due per period, as a proportion of the amount lent, deposited, or borrowed
The total interest on a quantity lent or borrowed counts on the principal sum, the interest rate, the compounding frequency, and the length of the period over which it is lent, deposited or borrowed.
<h3>How high will interest rates go?</h3>
Market participants think the Fed rate hike cycle will peak in December in a capacity of 3.5-3.75%, followed by rate cuts early next year. This is consistent with anticipations of a recession.
To learn more about interest rate, refer
brainly.com/question/2151013
#SPJ4
Ability Placement Survey career testing tool is one of the few assessments with right and wrong answers.
A career is an individual's metaphorical "journey" through study, work, and other aspects of life. There are several ways to define a career and the terms are used in different ways.
pursues a career for life, especially one that requires special training. He longed for a career as a lawyer. Resume or general course of action for a person or period of life, like occupation or endeavor: His career as a soldier ended in a truce. , means working as an electrician, cashier, teacher, or hairdresser. But career also has another definition.
Learn more about career here:brainly.com/question/6947486
#SPJ4
Answer:
A) A high interest rate & long time period
Explanation:
A high interest rate means that your principal amount is earning a higher return when deposited in a savings account. The interest amount when compounded frequently like every month, it also earns interest on it as well as the original amount invested. This effect is called compounding. On the other hand, a long time period of investment means that you have a longer time horizon over which your principal earns interest. For example if you start saving when you are 18 years old and wants to retire at 68 years old, you will have 50 years worth of interest earned which is longer investment horizon than when you start saving at 40 years of age.