Answer:
This entry would be recorded by Young with a credit to <u>cash account</u> in the amount of <u>$1,020</u>.
Explanation:
The complete journal entry for June 29 should be
- Dr Notes Payable account 1000
- Dr Interest Expense account 20
- Cr Cash account 1020
The total interest due = $1,000 x 6% x 4/12 =$20
Notes payable is a liability account and it decreases, so it should be debited.
All expenses are debited.
Cash is an asset account and it decreases, so it should be credited.
The amount to be paid on maturity is $100,440
Given that;
Purchase value of 8% corporate bond at 93 = $1,000
Find:
The amount to be paid on maturity
Computation:
Interest amount = Face value of bond × Price × Interest
Interest amount = $1,000 × 93 × 8%
Interest amount = $7,440
The amount to be paid on maturity = $7,440 + $93,000
The amount to be paid on maturity = $100,440
In finance, maturity or maturity date is the final payment due date of a loan or other financial instrument such as a bond or term deposit upon which principal (and remaining interest) is paid.
Maturity is the date on which the life of a trade or financial instrument ends, after which it must be renewed or cease to exist. The life of a bond is the period during which its holder receives interest payments on their investment. When the bond matures, the holder will be refunded the face value. The maturity may change if the bond has a put or call option.
Learn more about Maturity here: brainly.com/question/9099365
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Answer:B. Governments
Explanation: Because first and foremost the taxes that are required form the people who are working becomes the property of the government and therefore this money must be allocated well in infrastractures such as roads and national literacy such as education.
