From what is said the answer is true. that leaves 25000 over your lifestyle budget
Answer:
False
Explanation:
This statement is false because firms are always known for the issuance of debts prior to new stock. This is because they find issuing debt is way cheaper. Because of the cheapness of issuing debt, this method is preferred to using common equity for their capital. The use of debt financing may not signal any message to managers that the future does not look good.
Answer: B. Tabitha figures that the additional benefit of having her own booth ( as opposed to sharing) is at least $300.
Explanation:
When Tabitha moved booths, she began to pay $450 per month. The difference between this cost and the cost she was previously paying is:
= 450 - 150
= $300
If Tabitha is paying $300 extra, it must mean that the benefit she is getting from being in her own booth is at least $300 because that would be the only way she would not be making a loss. Were the benefits anything less than $300, she would be making a loss and it would not make any sense for her to continue renting the booth.
Answer:
Lundholm, Inc
Journal Entries
Date Account Titles Debit Credit
May 1, 18 Cash $500,000
Bonds payable $500,000
(To record the bond issuance)
31 Oct, 18 Interest Expenses $22,500
(500000*9%*6/12)
Cash $22,500
(To record payment of the first semiannual period’s interest)
Nov 1, 19 Bonds payable $300,000
Loss on Bonds $3,000
Cash $303,000
(To record retirement the bonds at 101 on November 1, 2019)
Answer:
COGS= $807,500
Explanation:
<u>First, we need to calculate the unitary cost for direct material, direct labor, and manufacturing overhead:</u>
direct material= 2*2= $4
direct labor=2.7*20= $54
overhead= 2.7*10= $27
Total unitary cost= $85
<u>Now, the cost of goods sold:</u>
COGS= 85*9,500= $807,500