Answer:
The impact inflation has on the time value of money is that it decreases the value of a dollar over time. ... Inflation increases the price of goods and services over time, effectively decreasing the number of goods and services you can buy with a dollar in the future as opposed to a dollar today.
Explanation:
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Answer:
The correct answer is : 35.49
Explanation:
Calculation of the current bond price:
N = 28, I = 3.6, PMT = 32.50
FV = 1,000; CPT PV = -938.89
Calculation of the price in one year:
N = 26, I = 3.4, PMT = 32.50,
FV = 1,000; CPT PV = 974.38
So, the dollar change in price is:
$974.38 - $938.89 = $35.49
Answer:
It is synonymous with "usefulness".
It is subjective
Answer:
Net operating income= 15,000
Explanation:
The absorption costing method includes all costs related to production, both fixed and variable. The unit product cost is calculated using direct material, direct labor, and total unitary manufacturing overhead.
<u>In this case, there is no beginning nor ending inventory. Fixed overhead is incorporated into the cost of goods sold in full.</u>
Sales= 500*100= 50,000
COGS= (10 + 25 + 15)*500 + 10,000= (35,000)
Gross profit= 25,000
Total selling and administrative costs= (5*500) + 7,500= (10,000)
Net operating income= 15,000
Answer:
Option D Allowance for noncollectable Accounts.
Explanation:
The bad debt recovery recording is a two step process.
Step 1 Reverse the entry of bad debt with the amount received
Dr Trade Receivable $40,000
Cr Bad debts $40,000
Step 2 Now record the receipt of amount as a reduction in trade receivable and increase in cash asset.
Dr Cash $40,000
Cr Trade Receivables $40,000
The only account unconsidered here was Allowance for the noncollectable account.
