1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Hunter-Best [27]
3 years ago
11

When a bond is sold at a​ discount, the maturity value is less than the present value of the principal and interest​ payments, b

ased on the market rate of interest on the date of issue.True / False.
Business
1 answer:
sweet [91]3 years ago
5 0

Answer:

given statement is False

Explanation:

solution

As given bond sold at the​ discount

maturity value less than present value

but maturity value can not be less than present value of principal and interest

because bond sold at the​ discount

if bond sold at the​ discount  than maturity value will be greater than the resent value of future cash​ flow

so we can say that given statement is False

You might be interested in
You want to buy a new car, but you can make an initial payment of only $2,400 and can afford monthly payments of at most $500. a
dlinn [17]

Answer:

Ans. The maximum price you can pay for the car is $21,387

Explanation:

Hi, to find out what is the maximum price that you can pay, first we have to convert APR rate to an effective monthly rate, that is because you will make the payments in an monthly basis.

Therefore, the effective monthly rate of the credit is 12%/12 =1% effective monthly.

Now, let´s find out the maximum price of the car.

CarPrice=\frac{A((1+r)^{n}-1) }{r(1+r)^{n} } +DownPayment

Where: A is the amount of money that you can pay every month; r is 1% effective rate; n is the periods of periodic payment.

So, everything should look like this:

CarPrice=\frac{500((1+0.01)^{48}-1) }{0.01(1+0.01)^{48} } +2,400= 21,387

So, with a down payment of $2,400 and being able to pay $500 per month, the car that you can buy cannot have a price higher than $21,397.

Best of luck

7 0
3 years ago
Which of the following is the best example
kompoz [17]

Answer:

it is b try it

Explanation:

5 0
3 years ago
Which of the following is a proper safety procedure when using a skid-steer loader?
tino4ka555 [31]
The answer is D all of these answers are  correct.

6 0
3 years ago
In which case do investors buy stock in expectation of higher profits
luda_lava [24]
That happens during a bull market 
6 0
3 years ago
Read 2 more answers
Prepare the journal entry to record bad debt expense assuming Novak Company estimates bad debts at (a) 4% of accounts receivable
Novay_Z [31]

Additional information:

Novak Company reports the following financial information before adjustments. Dr. Cr. Accounts Receivable $155,400 Allowance for Doubtful Accounts $3,890 Sales Revenue (all on credit) 800,700 Sales Returns and Allowances 50,330

Answer:

net credit sales = total sales revenue - sales returns and allowances = $800,700 - $50,330 =  $750,370

accounts receivables = $155,400

allowance for doubtful accounts = $3,890 (credit balance)

A) estimated bad debts = 4% of accounts receivables = 4% x $155,400 = $6,216

since the current balance of allowance for doubtful accounts is $3,890, then the adjusting entry should be = $6,216 - $3,890 = $2,326:

Dr Bad debt expense 2,326

    Cr Allowance for doubtful accounts 2,326

B)  estimated bad debts = 4% of accounts receivables = 4% x $155,400 = $6,216

since the current debit balance of allowance for doubtful accounts is $1,470, then the adjusting entry should be = $6,216 + $1,470 = $7,686:

Dr Bad debt expense 7,686

    Cr Allowance for doubtful accounts 7,686

8 0
3 years ago
Other questions:
  • Skullcandy makes headphones. For 2016 it plans to offer a new product line of wireless headsets to the marketplace. It planned o
    15·1 answer
  • The regression analysis at the bottom relates average annual per capita beef consumption (in pounds) and the independent variabl
    9·1 answer
  • Your discount brokerage firm charges $7.95 per stock trade. how much money do you need to buy 200 shares of pfizer, inc. (pfe),
    9·1 answer
  • Given the acquisition cost of product Z is $80, the net realizable value for product Z is $72, the normal profit for product Z i
    9·1 answer
  • Henry and Charlotte are both 28 years old.
    15·1 answer
  • Logan, a 50% shareholder in Military Gear Incorporated (MG), is comparing the tax consequences of losses from C corporations wit
    9·1 answer
  • Colt Football Co. had a player contract with Watts that is recorded in its books at $5,600,000 on July 1, 2014. Day Football Co.
    11·1 answer
  • Allan borrowed $4200 from his father to buy a car. He repaid him after 4 months with interest of 7% per year. Find the total amo
    10·1 answer
  • 2) Can a caterer use leftover foods donated to a charity as a charitable tax deduction? Why or why not?
    6·1 answer
  • How to calculate a trial balance​
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!