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kaheart [24]
3 years ago
8

Markel Inc. has bonds outstanding during a year in which the general (risk-free) rate of interest has not changed. Markel electe

d the fair value option for the bonds upon issuance. What will the company report for the bonds in its income statement for the year?
Interest expense and a gain.

Interest expense and a loss.

A gain and no interest expense.

Interest expense and no gain or loss.
Business
1 answer:
Dimas [21]3 years ago
5 0

Answer: Interest expense and no gain or loss.

Explanation:

Since Markel Inc. has bonds outstanding during the year in which the general (risk-free) rate of interest has not changed, in its income statement for the year, the company's report for the bonds would be interest expense and no gain or loss.

Note that they have elected the fair value option for the bonds upon issuance, so no gain or loss is expected.

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When reviewing the balance sheet for Portable Pet Care, Inc., a mobile small animal care business, Ricky noted the following inf
mash [69]

Answer:

The net worth (owners' equity) for this business is $2.2 million

Explanation:

Net worth: It is also known as owner's equity which is a difference between total assets and total assets.

In this question, we use the accounting equation which is used to balance the debit and credit side of the balance sheet items.

So, the accounting equation is

Total Assets = Total Liabilities + Owner's Equity

where,

Company assets are $3.5 million

And, liabilities is $1.3 million

Now, apply the above equation to find out the value of the owner's equity

So, owner equity would be equals to

= $3.5 million - $1.3 million

= $2.2 million

Hence,  the net worth (owners' equity) for this business is $2.2 million

3 0
3 years ago
On January 1, 2015, the company purchased equipment that cost $10,000. The equipment is expected to be worth about (or has a sal
anzhelika [568]

Answer:

1    

Dr Fixed asset equipment_________$10000    

Cr Cash_______________________________$10000    

purchased equipment    

   

2    

Dr Depreciation expense____________$1800    

Cr  Acummulate Depreciation_______________$1800    

Anual depreciation    

Explanation:

1    

Dr Fixed asset equipment_________$10000    

Cr Cash_______________________________$10000    

purchased equipment    

   

2    

Dr Depreciation expense____________$1800    

Cr  Acummulate Depreciation_______________$1800    

Anual depreciation    

5 0
3 years ago
Selling or mortgaging an asset, such as a house or land, is one way an
Alexxx [7]

Answer:

A. finance

Explanation:

Finance is the section of business that deals with money. Raising capital through various methods would fall under the finance part of the business.

Finance is among the functional areas of a business. It involves sourcing and allocating money to other areas of the business. Finance is closely associated with accounting. Other functional areas of a business include marketing, human resources, administration, and production.

4 0
2 years ago
Which dimension of e-commerce technology describes the fact that the internet is available at work, at home, and elsewhere via d
Vikentia [17]

Ubiquity is the dimension of e-commerce technology describes the fact that the internet is available at work, at home, and elsewhere via desktop and mobile services.

The definition of technology is the application of scientific knowledge to practical purposes or applications. Technology takes scientific principles and applies them to transform the environment in which we live. Technology can also use scientific principles to advance industry and other human constructs.

Technology is the way scientific knowledge is applied to practical purposes. It includes not only machines (such as computers), but also technologies and processes (such as how computer chips are made). All technology may seem electronic only, but that's just the latest technology.

Learn more about technology here:brainly.com/question/25110079
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5 0
1 year ago
A grocery chain is interested in exploring the impact effective supply chain management would have. Suppose that for every $1 of
Verdich [7]

Answer:

$3.70

Explanation:

In this question we have to assume the items values

Let say

Sales = $100

So supply chain it spends 50% i.e $50

Profit is 4% i.e $4

Since the 46% is dividend among fixed and production costs

So the fixed cost is $23 and variable cost is $23

Now if the sales increase by $X, the revenue will increase by X.

So it would also increased the cost by X × (0.5+0.23)

And in overall, the profit is also increased

Plus it is given that there is  27% profit margin

So, the equation is

0.27X = 1

Therefore X = $3.70 with additional profit of $1

3 0
3 years ago
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