All categories

4 years ago

Which one of the following is the most widely used source of retirement income?

2 answers:

7 0

Compared to IRAs, Keogh plans, and company pension plans, Social Security<span> is the most widely used source of retirement income. It is based on reports that 88 percent of retirees rely on its steady stream of payments. Fifty-five percent of retirees regards Social Security as their major source of retirement income. </span>

brilliants [131]4 years ago

4 0

Your answer would definitely be Social Security!

You might be interested in

Anderson Compounds produces two industrial chemical compounds, Gorp and Gumm, from the same process, which last year, cost $480,

Olin [163]

Answer:

b. 320000

Explanation:

In order to calculate the joint cost of Gorp we need to understand what the method means and how it's used to calculate it. The adjusted sales method is used to allocate joint costs based on the prices the products are sold.

First of all we need to calculate the percentage of Selling price of Gorp to that of the total selling price of both Gorp and Gumm.

I.e: 60 ÷ (60+30) × 100

SP % of Gorp= 66.67%

Now we calculate joint cost allocated to Gorp.

Total joint cost of both Gorp and Gumm = $480000

Joint cost of Gorp = $480000 × 66.67%

Joint cost of Gorp = $320,000

3 0

3 years ago

Master Corp. issued 8%, $80,000 bonds on February 1, 2020. The bonds pay interest semiannually each July 31 and January 31 and w

Archy [21]

Answer:

Master Corp.

a. Journal Entries:

1. Feb. 1, 2020:

Debit Cash $85,685

Credit 8% Bonds Payable $80,000

Credit Bonds Premium $5,685

To record the issuance of bonds at premium.

2. July 31, 2020:

Debit Interest Expense $2,999

Debit Bonds Premium $201

Credit Cash $3,200

To record the first payment of interest on the bonds and amortization of premium.

December 31, 2020:

Debit Interest Expense $2,493

Debit Bonds Premium $174

Credit Interest Payable $2,667

To accrue interest expense and bonds payable.

4. January 31, 2021:

Debit Interest Expense $499

Debit Bonds Premium $34

Debit Interest Payable $2,667

Credit Cash $3,200

To record the payment of interest.

b. Balance Sheet as of December 31, 2020:

Liabilities:

Bonds Payable $80,000

Bonds Premium $5,310 ($5,685 - 201 - 174)

Income Statement for the year ended December 31, 2020:

Interest Expense $5,492

c. The total cost of financing the bonds for full term is $58,315.04.

d. The total cost of financing is $58,315.04

e. Interest expense would have remained the same.

f. The interest expense would have remained the same as it is not dependent on the premium amortization method used.

Explanation:

a) Data and Calculations:

February 1, 2020:

Face value of issued bonds = $80,000

Price of issued bonds = $85,685

Premium on bonds = $5,685

N (# of periods) 20

I/Y (Interest per year) 8

PMT (Periodic Payment) = $ 3,200

Results:

PV = $85,684.96

Sum of all periodic payments = $64,000.00

Total Interest $58,315.04

July 31, 2020:

Cash payment = $3,200 ($80,000 * 4%)

Interest Expense 2,999 ($85,685 * 3.5%)

Premium amortized $201

December 31, 2020:

Interest Payable = $2,667 ($80,000 * 4% * 5/6)

Interest expense = $2,493

Premium amortized $174

January 31, 2021:

Interest Expense $499

Bonds Premium $34

Interest Payable $2,667

5 0

3 years ago

An increase in the supply of grain will reduce the total revenue grain producers receive if.

Bogdan [553]

If the<u> demand curve is inelastic</u>, a rise in the supply of grain will result in a decrease in the overall income received by grain producers.

The ability of firms to enter and exit a market over time means that, in the long run, the supply curve is more elastic.

Two basic economic concepts are combined in the law of supply and demand to explain how shifts in the price of a resource, good, or service affect its supply and demand. As the price rises, supply increases while demand decreases. On the other hand, as the price falls, demand increases and supply becomes more limited.

The degree to which changes in price translate into changes in demand and supply is known as the product's price elasticity.

Basic consumer demand is comparatively inelastic, or less responsive to price changes.

Discover the long-term impact of population growth on supply and demand: brainly.com/question/13353440

#SPJ4

7 0

2 years ago

When supply increases, the supply curve

MariettaO [177]

When supply increases, the supply curve shifts to the right.

<h3>What is the supply curve?</h3>

This is the curve that is used to show the amount of goods that the producers would be able to make available for the market at a particular price. The supply curve shifts to the right when there is an increase in supply in the economy.

Hence this answers our question by saying that When supply increases, the supply curve shifts to the right.

Read more on supply curve here: brainly.com/question/11717727

#SPJ1

5 0

1 year ago

"A customer owns 200 shares of ABC, purchased 2 years ago at $50 per share. The current market value of ABC stock is $60 per sha

kirza4 [7]

Answer: The donor may incur a gift tax liability. Also, the cost basis will be $50 per share to the recipient of the gift.

Explanation:

From the question, we are informed that a customer owns 200 shares of ABC, that were bought 2 years ago at $50 per share and that the current market value of ABC stock is $60 per share.

If the customer gifts the stock to his son, the result is the donor may incur a gift tax liability. Also, the cost basis will be $50 per share to the recipient of the gift.

7 0

4 years ago