Hey there,
The answer is coupons.
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<span>A business becoming incorporated is an example of risk management.</span>
When a business becomes incorporated it is trying to protect the assets of the company. By assessing and making a risk management decision to become incorporated they are protecting themselves and the company as a whole.
Answer:
The supply of loanable funds is independent of the rate of interest Interest rates
Explanation:
Interest rate is the rate earned on deposits or the rate charged on loans.
Interest rate could be real or nominal
Nominal interest rate is real interest rate plus inflation rate
Real interest rate is interest rate that has been adjusted for inflation
equilibrium interest rate is determined by the intersection of the demand for loanable funds curve and the supply of loanable funds curve. if interest rate is above equilibrium level, there would be an excess supply of funds and if interest rate is below equilibrium rate, there would be an excess demand of funds.
the higher the risk of a project, the higher the interest rate investors would demand. Also interest rate tends to be higher with an extension of loan period.
Answer:
The Journal entry is as follows:
On December 31, 20Y2
Unearned rent revenue A/c Dr. $11,025
To Rent Revenue $11,025
(For earning rent revenue for 7 months ended on December 31, 20Y2)
Workings:
Rent revenue for 7 Months:
= Rent received for 12 months × (7 months ÷ 12 Months)
= $18,900 × (7 months ÷ 12 Months)
= $18,900 × 0.583
= $11,025
Answer:
$14,900
Explanation:
The computation of the amount recognized as a depreciation expense for the year 2 is shown below;
= Carpenting + roof + hvac system + building
= ($10,000 ÷ 5 years) + ($15,000 ÷ 15 years) + ($30,000 ÷ 10 years) + ($500,000 - $10,000 - $15,000 - $30,000) ÷ (50 years)
= $2,000 + $1,000 + $3,000 + $8,900
= $14,900
