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kykrilka [37]
2 years ago
5

On January 1, 2013, Goll Corp. issued 3,000 of its 10%, $1,000 bonds for $3,120,000. These bonds were to mature on January 1, 20

23 but were callable at 101 any time after December 31, 2016. Interest was payable semiannually on July 1 and January 1. On July 1, 2018, Goll called all of the bonds and retired them. Bond premium was amortized on a straight-line basis. Before income taxes, Goll's gain or loss in 2018 on this early extinguishment of debt was Group of answer choices $30,000 loss. $24,000 gain. $90,000 gain. $36,000 gain.
Business
1 answer:
LiRa [457]2 years ago
4 0

Answer:

$24,000 Gain

Explanation:

Given that,

Bonds issued = 3,000

Par value = $1,000

Value of issued bonds = $3,120,000

Goll's gain in 2018 on this early extinguishment of debt:

= Issue price of bonds - Premium amortized - Callable value

= $3,120,000 - [($3,120,000 - $3,000,000) × 11/20] - (3,000 × $1,000 × 1.01)

= $3,120,000 - $66,000 - $3,030,000

= $24,000 Gain

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Jose wants to upgrade his look before a job interview. A friend tells him about a men's clothing line that allows potential cust
lyudmila [28]

Answer:

Letter D is correct. <em>Experience.</em>

Explanation:

Jose had a shopping need and was introduced to a men's clothing line that allows him to try on the pieces virtually and even has an extra, interactive custom fit feature. Through this experience Joseph was able to taste the suit he wanted and bought it without leaving the office.

This situation is a positive experience for the consumer, because José experienced a better process than usual, which would be to go to a store, try and then buy, in optimizing the processes he could not only buy what he needed, but Also try it, which is still a barrier for those who choose products online.

3 0
3 years ago
The following cost data pertain to the operations of Swestka Department Stores, Inc., for the month of July.Corporate headquarte
Marta_Voda [28]

Answer:

$157,900

Explanation:

Given all the costs,

Total amount of the costs that are not direct cost:

= Corporate headquarters building lease + Corporate legal office salaries + Central warehouse lease cost

= $81,600 + $62,700 + $13,600

= $157,900

Therefore, the total amount of the costs listed above that are NOT direct costs of the Northridge Store is $157,900.

7 0
3 years ago
Church Inc. is presently enjoying relatively high growth because of a surge in the demand for its new product. Management expect
Ronch [10]

This can be worked out as under:

rakhivasavada :

Required Rate of Return r(m) = r(f) + b r(p), where r(f) is the risk free rate and the r(p) is the risk premium and b is beta and therefore:

r(m) = 3.00 + 1.20 * 5.5 = 9.6%.

rakhivasavada :

Hence current price P(0),

= D1/(1+k) +D2/(1+k)^2 + D3/(1+k)^3 + D4/(1+k)^4 + P4/(1+k)^4

D1 = D0 * 1.25 = 1.25*1.25 = 1.25^2

D2 = 1.25D1 = 1.25^3

D3 = 1.25D2 = 1.25^4

D4 = 1.25D3 = 1.25^5

D5 = 1*D4 = 1.25^5 (g = 0, so (1+g) =1)

P4 = D5/k = 1.25^5/0.096

So, P(0)

= 1.25^2/1.096 +1.25^3/1.096^2 +1.25^4/1.096^3 +1.25^5/1.096^4 +1.25^5/(0.096*1.096^4)

= 29.05

rakhivasavada :

I am sure this would help...

rakhivasavada :

Rate this answer ONLY IF you are done with this and if this helps and satisfies you as this is the only way we get compensated for assisting you. You may use "CONTINUE CONVERSATION" to revert with additional queries if you have or if I have missed out on any aspect of your question.

Hope this helps...

4 0
3 years ago
Luxury items in a budget come from _____. A. an income B. a deficit C. fixed expenses D. savings
Scrat [10]
Luxury items in a budget come from : D. Saving

People tend to buy luxury items after the other crucial needs are met, which means that it will be most likely that the budget came from the income that is intended for saving

hope this helps
3 0
3 years ago
Read 2 more answers
during the cooling off period, underwriters would be allowed to do all of the following except a) take indications of interest.
ss7ja [257]

During the cooling off period, underwriters would be allowed to do all of the aforementioned except: b) advertise the issue.

<h3>Who is an underwriter?</h3>

An underwriter can be defined as an individual or business firm that is saddled with the responsibility of evaluating and assuming another party's financial risk for an agreed amount of money (fee), which is often paid as a spread, commission, interest, or premium.

This ultimately implies that, an underwriter helps a lender (financial institution) in determining the level of risk associated with an issue.

As a general rule, underwriters would be allowed to do all of the following during the cooling off period:

  • Take indications of interest.
  • Publish a tombstone.
  • Distribute a preliminary prospectus.

In this context, we can reasonably infer and logically deduce that during the cooling off period, underwriters would only be allowed to do all of the aforementioned except distribute sale or advertise the issue.

Read more on underwriters here: brainly.com/question/28026586

#SPJ1

3 0
1 year ago
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