Answer: Services, government and international trade.
Explanation:
The role of services, and international trade to the gross domestic product (GDP) of the United States economy is very important. Services with their increasing importance in the world economies are becoming vital in the economic growth of many countries.
In the United States, the relationship between growth in the services sector and economic growth has become stronger since two decades ago as it's contribution to the GDP has increased.
International trade which is the exchange of goods, capital, and services across international borders also represents a significant proportion of the gross domestic product of the United States.
Answer:
The cost of the preferred stock, including flotation is 11.31%
Explanation:
In order to calculate the cost of the preferred stock, including flotation we would have to use the following formula:
cost of the preferred stock= <u>Annual Dividend</u>
Price×(1-Flotation Cost)
cost of the preferred stock=<u> $11 </u>
$108×(1-10%)
cost of the preferred stock=<u> $11 </u>
$97.20
cost of the preferred stock=11.31%
The cost of the preferred stock, including flotation is 11.31%
Answer:
Dr Potter's 8% Bonds $100,000
Cr Cash $100,000
Dr Cash $4,000
Cr Interest income $4,000
Explanation:
Based on the information given the appropriate journal entry will be:
Dr Potter's 8% Bonds $100,000
Cr Cash $100,000
(Being 8% Bonds purchased)
Dr Cash $4,000
Cr Interest income $4,000
($100,000*8%*1/2)
(To record semi annual interest receipt)
Answer:
Annual depreciation (year 1)= $1,400
Explanation:
Giving the following information:
Buying price= $36,000.
Useful units= 300,000 units of product.
Salvage value= $6,000
During its first year, the machine produces 14,000 units of product.
To calculate the depreciation expense for the first year under the units of production method, we need to use the following formula:
Annual depreciation= [(original cost - salvage value)/useful life of production in units]*units produced
Annual depreciation= [(36,000 - 6,000)/300,000]*14,000
Annual depreciation= 0.1*14,000= $1,400