A market with only two firms is called a

State Street Beverage Company issues $805,000 of 9%, 10-year bonds on March 31, 2017. The bonds pay interest on March 31 and

Citrus2011 [14]

Answer:

Option (B) If the market rate of interest is 10%, the bonds will issue at a discount

Explanation:

Interest rate risk is defined as the risk changing which, interest rates will affect bond prices. When current interest rates are greater than a bond's coupon rate, the bond will be sold below its face value at a discount. When interest rates are less than the coupon rate, the bond can be sold at a premium--higher than the face value.

7 0

3 years ago

To form a corporation, the organizers must follow the requirements set forth by the corporation code of the state in which the c

Fantom [35]

Answer: Incorporating a corporation

Explanation:

According to the question, the given process is known as incorporating the corporation. As, the incorporation is one of the type of legal process in which the organization are used the various types of corporate entities to form a corporation.

The corporation is the type of legal entity in an organization which results into the separation of investors and the owner.

According to the question, the organizers uses the proper requirement with the help of corporation code to form a proper corporation.

8 0

2 years ago

Variable Costing—Production Exceeds Sales Fixed manufacturing costs are $44 per unit, and variable manufacturing costs are $100

Soloha48 [4]

Answer:

a. The variable costing operating income is less than absorption costing operating income.

b. The difference in variable costing and absorption costing operating income is:

= $739,200.

Explanation:

a) Data and Calculations:

Fixed manufacturing costs per unit = $44

Variable manufacturing costs per unit = $100

Production units = 67,200

Sales units = 50,400

Ending inventory = 16,800

Income Statements Variable Absorption

Costing Costing

Costs of goods sold: $5,040,000 $7,257,600

Fixed expenses 2,956,800

Total costs $7,996,800 $7,257,600 $739,200

b) The difference in variable costing and absorption costing operating income is because of the absorbed fixed costs in ending inventory, which is now carried forward to the next accounting period.

4 0

2 years ago

Suppose you've just inherited $10,000 from a relative. You're trying to decide whether to put the $10,000 in a non-interest-bear

Aleksandr-060686 [28]

Answer:

$800

$1,000

The quantity of money demanded decreases as the interest rate rises.

Explanation:

a

To calculate the opportunity cost on government bond at 8%, we use the following method

Opportunity Cost for 8% interest rate on Government Bonds

= (8/100)%× $10,000

= 0.08% ×$10,000

= $800

To calculate the opportunity cost government at bond on 10%, we use the following method

Opportunity Cost for 10% interest rate on Government Bonds

= (10/100)%× $10,000

= 0.1%×$10,000

= $1,000

b. The quantity of money demanded decreases as the interest rate rises.

4 0

3 years ago

The code that forty-nine states have adopted to interpret and enforce contract law is the _____.

grin007 [14]

<span>The code that forty-nine states have adopted to interpret and enforce contract law is the "Uniform Commercial Code".

</span>The Uniform Commercial Code was published in 1952 and it contains many uniform acts. The nine articles of the UCC is an arrangement of laws overseeing the offer of products, leases of merchandise, debatable instruments, bank stores, support exchanges, letters of credit, mass deals, distribution center receipts, bills of replenishing, investment securities and secured exchanges. As the national economy developed at the turn of the twentieth century, a need to direct business exchanges consistently became important. With the reception of the UCC, organizations and in addition people are secured.

3 0

3 years ago

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