Answer:
The answer is 0.3%
Explanation:
nominal risk free rate for 10 years = 3.7 + 1.5 = 5.2
nominal risk free rate for 30 years = 4.0 + 1.5 = 5.5
Therefore maturity risk premium is 5.5 - 5.2 = 0.3%
Answer:
d. Line 3
Explanation:
Generally, the liabilities are classified as current and long term based on their duration, on the date of issue of notes payable the liability is long as the period is of 1 year, whereas generally notes payable are not for 1 year and are termed as short term i.e. current liabilities.
But, on 31 Dec 2017 the period to pay the notes payable and the interest thereon is just of 7 months left, therefore on the balance sheet date both the liabilities will be considered and clarified as Current Liabilities.
Therefore, correct option is
d. Line 3
<span>B .There are 24 days remaining in July (31 - 7 ); 31 days in August; 30 days in September; and 5 days in October (24 + 31 + 30 + 5 = 90 days).
</span>
The days are not only based on estimation but on Accurate number of days in each month. Since it is written in july 7 then its maturity will be on october 5
Answer with its Explanation:
On February 14, the repairment of transmission is the repair and maintenance cost and hence it must be accounted for as an expense.
The Double entry would be:
Dr Repairs and Maintenance Expense $2,300
Cr Cash $2,300
On the same date, the installation of GPS system is an addition of an asset in the delivery truck hence it must be capitalized.
The Double entry would be:
Dr Delivery Van $450
Cr Cash $450
Answer:
b) inseparability
Explanation:
Inseparability: It refers to that thing that is not separate from each other. It is a combined service. Just like if a product is sold to a customer so along with it the repairing and warranty expenses are free of cost.
In the given example. the players and the gamer are treated as one which means that they are not inseparable.
So, all other options are incorrect except b. option
