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
Zarrin [17]
3 years ago
6

Norton Corporation received cash from issuing 10-year $200,000 bonds at face value. Interest of $10,000 is paid annually to the

bondholders on December 31. How do the issuance of the bonds and the payment of the interest affect Norton's financing activities section of the statement of cash flows for
Business
1 answer:
Jobisdone [24]3 years ago
5 0

Answer:

Issuance of bonds is a cash inflow

Payment of interest is a cash outflow

Explanation:

The issue of the bond at $200,000 face value would be a cash inflow under the financing activities of the cash flow when issued since more cash was received from the bondholders.

However,the payment of bond interest of $10,000 yearly is a cash outflow under the financing activities section of the statement of cash flows,since Norton Corporation would be parting with the amount on yearly basis till the bonds are retired.

You might be interested in
g You currently hold an inflation-indexed bond, which pays out real coupons of 10% per year, starting one year from now. The bon
Allushta [10]

Answer:

$618 dollars

Explanation:

The beginning face value will be our starting position: $600

Then, we have a 2 percent increase over the next three years

this makes for a principal at maturity of:

600 x (1 + 2% x 3 years ) = $618

This makes each coupon return in coins to also increase over time as, they are calcualted based on the adjusted face vale. This method iguarantee the 10% return on the bond regardless of inflation during the period.

3 0
4 years ago
Friends, a convenience store, has recently begun to redesign and restock its stores to offer a more upscale environment with hig
maksim [4K]

Answer:

E. Positioning

Explanation:

Positioning deals with what organizations should do in order to sell its product and services to consumers. Positioning indicates an organization's product or service place in the mind of consumers. It is aimed at putting the product or services in the mind of the consumers. By redesigning and restocking the store to offer lre upscale environment with higher quality product, Friends had changed its positioning.

5 0
4 years ago
What are the three parts of the federal reserve system
Mnenie [13.5K]
The Board of Governors, the Federal<span> Open Market Committee, and 12 regional </span>reserve<span> banks.</span>
3 0
3 years ago
The common stock of Zeta Group sells for $42 per share, has a rate of return of 12.2 percent, and a dividend growth rate of 1.8
Soloha48 [4]

Answer:

The amount of the last annual dividend paid is <u>$4.3</u>.

Explanation:

Given:

The common stock of Zeta Group sells for $42 per share, has a rate of return of 12.2 percent, and a dividend growth rate of 1.8 percent annually.

Now, to find the amount of last annual dividend paid.

Let the amount of last annual dividend paid be l.

Price of per share (p) = \$42.

Rate of return (r) = 12.2\%.

Rate of dividend growth (g) = 1.8\%.

Now, to get the amount of last dividend paid we put formula:

p=\frac{l(1+g)}{r-g}

42=\frac{l(1+1.8\%)}{12.2\%-1.8\%}

42=\frac{l(1+0.018)}{0.122-0.018}

42=\frac{l\times 1.018}{0.104}

<em>Multiplying both sides by 0.104 we get:</em>

<em />4.368=1.018l<em />

<em>Dividing both sides by 1.018 we get:</em>

4.3=l

l=\$4.3.

Therefore, the amount of the last annual dividend paid is $4.3.

6 0
3 years ago
What effect would a rule stating that university students must live in university dormitories have on the price elasticity of de
sukhopar [10]

Answer:

(1) The price Elasticity of demand for Dormintory space will less than one.

(2) The room rates will increase following the increase in demand.

Explanation: The price Elasticity of demand is a term used in Economics to describe the change in Quantity demanded at the slightest change in price of the product or services rendered. FOR A NECESSARY AND ESSENTIAL GOODS AND SERVICES WITH NO CLOSE SUBSTITUTES LIKE THE DORMITORY SPACES THE PRICE ELASTICITY OF DEMAND WILL BE LESS THAN ONE.

THIS MEANS THAT A CHANGE IN PRICE WILL HAVE LITTLE OR NO EFFECT ON THE DEMAND.

One of the conditions necessary for a change in price is a change in demand, as the demand for a product or service increases, it will lead to a corresponding increase in the price of the product or service especially when the supply for the product or sevice is constant.

7 0
4 years ago
Other questions:
  • Statement of Retained Earnings TriCycle, Corp. began the year 2008 with $25 million in retained earnings. The firm earned net in
    9·1 answer
  • D
    12·1 answer
  • Tech firms are among the best performing firms in the world. According to the chapter, which firm is the most valuable firm in t
    15·1 answer
  • Alpha company makes units that each requires 2 pounds of material at $3 per pound. Alpha is planning that 500 and 700 units will
    7·1 answer
  • When computing diluted earnings per share, which of the following will not be considered in the calculation?A. Dividends paid on
    10·1 answer
  • Janice Morgan, age 24, is single and has no dependents. She is a freelance writer. In January 2018, Janice opened her own office
    10·1 answer
  • What are the positive feedbacks for NEWS ANCHORS?
    7·1 answer
  • alculating Net Float [LO1] Each business day, on average, a company writes checks totaling $17,000 to pay its suppliers. The usu
    14·1 answer
  • Victory Company uses weighted-average process costing to account for its production costs. Conversion cost is added evenly throu
    13·1 answer
  • Industrialized former colonial states that dominate the world economic system are?
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!