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erastovalidia [21]
3 years ago
13

On January 1, 2018, Normal Plastics bought 15% of Model, Inc.'s outstanding bonds for $900,000. On October 1, 2019, the bonds we

re valued at $1,026,000 and Normal sold half of the amount it purchased. On December 31, 2019, the remaining bonds were valued at $580,000. How much should Normal show on its 2019 income statement from this investment, assuming that it accounts for it as an available-for-sale investment?
Business
1 answer:
Brums [2.3K]3 years ago
5 0

Answer:

$63,000

Explanation:

The computation of the income statement from this investment is shown below:

= (Value of the bond - outstanding bond) ÷ criteria

= ($1,026,000 - $900,000) ÷ 2

= $126,000 ÷ 2

= $63,000

The outstanding bond value is subtracted from the value of the bond and the amount that comes is divided by 2 so that the actual amount could come.

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When looking to advertise a new business online, what is one of the major benefits of display ads?
Margarita [4]

Answer:

Ambitious Displaying adds that are eye catching are a major benefit to businesses. It allows you to make your mark on a users brain, when using display ads make sure to make yours stand out you dont want your advertisement to be one of the annoying ones that forces users to ignore it completely. Hope this helps!

8 0
3 years ago
Read 2 more answers
What is goodwill in a business sale and why is it amortized in the business financial statements
astra-53 [7]

Answer:

See below

Explanation:

Goodwill arises when is a business is acquired as a going concern. It is an intangible asset of a business. Goodwill represents the value of a company's customer base, its location, any patents, and the brand name. It consists of the value of suppliers, customers, and employee relationships that facilitates the smooth running of the business.

The value of goodwill is the difference between the purchase price and the net cost of its tangible and other intangible assets of a business. Amortization of goodwill means spreading the cost of goodwill to several financial years.

Goodwill is amortized because the business benefits from the goodwill for many years.  In other words, the expenditure on goodwill will profit the company in more than one financial year. As per the matching principle, expenses and incomes should be recognized in the period they occur. As benefits will be enjoyed in many years, the expenses should also be spread in similar years.

7 0
3 years ago
Enrico is having trouble telling the difference between the sound of a tuba and the sound of a piccolo. Even though a piccolo pr
Serggg [28]

Answer:

Pitch

Explanation:

Enrico has trouble differentiating between a tuba's sound and a piccolo's sound. Although a piccolo generates sound waves that are much briefer, quicker than a tuba, he has trouble tracking the variations in the pitch of such sounds.

For music, a note's pitch indicates the note's high or low. It is measured for physics in a Hertz unit. A note that vibrates at 261 Hz is induced by pulsing sound waves at 261 times per second.

3 0
3 years ago
The entity’s manufacturing division, whose assets constituted 75% of its total assets at September 30, Year 5 (end of year), was
belka [17]

The event should be presented in the financial statements as follows:

1. The assets side of the balance sheet will be reduced by 75%, with its accompanying accumulated depreciation.

2. The bonded liability on the balance sheet is eliminated by the relevant amount.

3. The journal entry should debit the Bonded Liability and accumulated depreciation, while the assets worth 75% are credited.

4. If the bonded indebtedness is more than 75% of the assets, the company records a profit on disposal on the income statement. Otherwise, it records a loss. If they are equal, there is no profit or loss.

Thus, the difference between the debit and credit entries constitutes either profit or loss on disposal.

Learn more: brainly.com/question/17329408

5 0
2 years ago
A group of cotton growers in North Georgia and North Alabama pooled their resources to build a cotton gin and storage area for t
GaryK [48]

Answer:

The correct answer is letter "B": Joint venture.

Explanation:

In a Joint Venture, two or more businesses agree to contribute to capital and resources for a common project. Usually, developers, manufacturers, and service providers agree to form a joint venture. If successful, those parties split the profit based on the value of their respective contribution to the joint venture.

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2 years ago
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