Answer:
it is challenging to track usage of the coupons
Explanation:
Coupons are defined as an instrument that is used to obtain a discount or rebate when making a purchase.
Stores usually give out coupons to customers as an incentive to by products.
However there will be challenge of tracking the coupons as well as the discount on each coupon.
Coupons are given at different discount rates at different times, so it is cumbersome to track a particular coupon out of the many issued when customer wants to redeem it
Answer:
Payroll factor State U:
- commissions $50,000
- fringe benefit package $15,000
Explanation:
State Sales Generated Fiona’s Time Spent There
U $3,000,000 20%
V $4,000,000 50%
X $8,000,000 30%
Sales percentage generated in state U = $3,000,000 / $15,000,000 = 20%
so 20% of the $250,000 commissions should be assigned to state U = $50,000
Time spent in state U = 20% x $75,000 fringe benefits = $15,000 assigned to state U
Answer: C. narrow-based calls
Explanation:
Narrow based calls would include calls from one industry. The mutual fund is an "High technology" firm which means that it is a narrow based fund for instance as it is interested only in one industry being the High Tech industry.
The manager should invest in Narrow based calls that focus on the sector if he anticipates that the market will remain flat for the sector. Narrow based Calls are more volatile because they are specific and with the volatility comes higher premiums to be charged.
Should he wish to make income against the portfolio, he should sell these knowing that the options will not be called as the market will remain flat.
Answer: forced distribution method
Explanation:
JUST DID IT
Answer:
B) 60,100
Explanation:
Since months have passed between the bond issuance and October 31. The amortization of the premium received depends on the amount of interest recognized. When the effective interest method is used, interest expense is based on the yield rate and the beginning book value.
interest expense = ($1,000,000 + $62,000) x 10% x 6/12 = $53,100
interest payable = $1,000,000 x 11% x 6/12 = $55,000
the difference (bond premium) = $55,000 - $53,100 = $1,900
unamortized bond premium = $62,000 - $1,900 = $60,100
