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
lyudmila [28]
3 years ago
6

9. On August ​20, 2018​, Macak​, Co. decides to invest excess cash of $ 3 comma 000 by purchasing Buffalo​, Inc. bonds. At​ year

-end, December ​31, 2018​, the market price of the bonds was $ 2 comma 400. The investment is categorized as​ available-for-sale debt. Journalize the adjusting entry needed at December ​31, 2018.
Business
1 answer:
tia_tia [17]3 years ago
4 0

Answer: <em>Please refer to explanation. </em>

Explanation:

Since it is an Available for Sale debt, we journalize it as follows

2018    

Dec. 31

DR Unrealized holding loss on AFS  600  

CR                 .Fair value adjustment - AFSI  600

(To record available-for-sale investments at fair value)  

Calculation,

= Cost Price - Market Price

=($3000 - $2400)

= $600

<em>If you need any clarification do comment or react.</em>

You might be interested in
The payment of a portion of the amount initially borrowed of an installment note is referred to as a.principal only. b.interest
emmasim [6.3K]

Answer:

Option A Principal Amount

Explanation:

Because the amount paid additional to the interest is repayment of loan which is the principal amount. So the option A is only correct. The other options discusses about interest which is not the portion of the amount initially borrowed.

6 0
3 years ago
Mary Stahley invested $1500 in a 48-month certificate of deposit (CD) that earned 6.5% annual simple interest. When the CD matur
ASHA 777 [7]

Answer:

$12714.98

Explanation:

Data provided in the question:

Initial amount invested = $1,500

Simple interest rate = 6.5%

Duration for simple interest = 48 months = 4 years

Now,

Simple interest = Amount × Interest rate × Time

= $1,500 × 0.065 × 4

= $390

Therefore,

Total amount = $1500 + $390

= $1890

Now

The amount = $1890 is invested in mutual fund which is compounded annually at 21% for 10 years

thus,

Final amount = Principle × (1 + r)ⁿ

here, r = 21% = 0.21

n = 10 years

Therefore,

Final amount = $1890 × (1 + 0.21)¹⁰

= $12714.98

5 0
3 years ago
Melinda Stoffers owns and operates ABC Print Co. During February, ABC incurred the following costs in acquiring two printing pre
tigry1 [53]

Answer:

The answer is below

Explanation:

a. Fee paid to factory representative for installation - DEBITED to Asset account

b. Freight - DEBITED to Asset account

c. Insurance while in transit - DEBITED to Asset account

d. New parts to replace those damaged in unloading - NOT DEBITED to Asset account

To understand which costs incurred in acquiring the new printing press should be debited to the asset account, it should be noted that "new parts to replace those damaged in unloading" does not lead to improvement in assets, hence, it should be considered as Expense instead of being devoted into the asset account.

7 0
2 years ago
Monica owns an equestrian clothing store. After many customers complained that her clothing only fit petite riders, she decided
Vanyuwa [196]

Answer:

Companies must be prepared at all times to add to or adapt their product lines to satisfy the desires of customers for them to remain competitive.

Explanation:

One of the strategies companies to remain competitive is to adjust to the demand of customers. This will allow a company to retain current customers and win potential new customers.

Although this strategy may require additional fund but failure to adapt and add new product lines that satisfy wants of the customers can the company out of business.

Therefore, companies must be prepared to add to or adapt their product lines to satisfy customers' desires in order to remain competitive.

6 0
3 years ago
During its first year of operations, puffin, incorporated reported sales revenue of $388,200 but only collected $308,000 in cash
sp2606 [1]

During its first year of operations, puffin incorporated reported sales revenue of $388,200 but only collected $308,000 in cash from customers. at the end of the year, accounts receivable equals:$80200.

Annual revenue is the amount of money your business earns from sales in a year. This does not include costs and expenses. To calculate annual sales, multiply the quantity of each product sold by the selling price, then add the annual sales for each product to arrive at the total annual sales.

A legal entity is an entity that exists legally separate from its owners, managers, operators, employees, and agents. Legal entities have the same powers as individuals, including the right to own and dispose of property, the power to sue and be sued, and the power to contract for a profit. A business example is an agriculture. An example transaction is a home sale.

Learn more about revenue  here

brainly.com/question/25623677

#SPJ4

8 0
1 year ago
Other questions:
  • Every source has at least some type of _____.
    9·2 answers
  • The net price of goods from evelyn’s hair care products to the springtime boutique is $3,576.90. the terms are 3/10, n/30. the d
    8·2 answers
  • g The long-run effect of an increase in household consumption is to raise a. both real output and the price level. b. real outpu
    8·1 answer
  • If a culture is described as valuing harmony, interdependence, fitting in, and social responsibility, it is likely:
    5·2 answers
  • Companies put promotion candidates through gatekeeper tests because _______.
    5·2 answers
  • Bonita Corporation made credit sales of $26,400 which are subject to 5% sales tax. The corporation also made cash sales which to
    9·1 answer
  • The direct order plan of organizing information will be the most effective when you are writing
    10·1 answer
  • Japan and russia disagree over ownership of which islands?
    13·1 answer
  • Meaning use of proof readers sign​
    14·1 answer
  • The act that has its own definition and remedial steps for mistakenly created e-commerce contracts:
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!