All categories

3 years ago

Assume bonds payable are amortized using the straight-line amortization method unless stated otherwise.

Business

1 answer:

taurus [48]3 years ago

3 0

Answer:

Luxury Suites Hotels

Balance Sheet as of December 31, 2018:

Liabilities:

Current Liabilities:

Sales Tax Payable 400

Interest Payable (due next year) 1,000

Estimated Warranty Payable 1,300

Salaries Payable 2,600

Discount on Bonds Payable 13,500

Accounts Payable $33,000

Total current liabilities $51,800

Long-term Liabilities:

Note Payable (long-term) $200,000

Bonds Payable (due 2022) 450,000

Total long-term liabilities $650,000

Total liabilities $701,800

Explanation:

The Hotel's liabilities are the financial obligations that Luxury Suites Hostels owes the debt providers for funding its assets. They are divided into two: current and non-current or long-term liabilities. The obligations that are expected to be settled within the next one year are classified as current. The other obligations which are not expected to be settled within one year are called noncurrent or long-term liabilities. Liabilities are forms of leverage or gearing that a company employs to help her in generating profits for equity stockholders.

You might be interested in

In Ben v. City Car Dealership, a state supreme court held that a minor could cancel a contract for the sale of a car. Now a tria

Neporo4naja [7]

Answer:

The correct answer is D

Explanation:

Under the doctrine of the stare decisis, the court will look into the past or the similar issues in order to guide their decisions related to the issues. And the past decisions are referred or acknowledged as the precedent.

Precedent is the principle or rule which is legal and it is established or created by the decision of the court. And this decision become the authority or the example for judging or deciding the similar issues.

Therefore, in this case, the trial court when deciding upon the case of D v E, will likely to allow or permit the minor to cancel the contract or the agreement.

7 0

3 years ago

Vulcan, Inc., has 8.7 percent coupon bonds on the market that have 10 years left to maturity. The bonds make annual payments and

Lana71 [14]

Answer:

$880.72

Explanation:

Bond price will be calculated by following formula

Bond Price = C x [ ( 1 - ( 1 + r )^-n ) / r ] + [ F x ( 1 + r )^-n ]

Bond Price = $87 x [ ( 1 - ( 1 + 0.107 )^-10 ) / 0.107 ] + [ $1,000 x ( 1 + 0.107 )^-10 ]

Bond Price = $87 x [ ( 1 - ( 1.107 )^-10 ) / 0.107 ] + [ $1,000 x ( 1.107 )^-10 ]

Bond Price = $518.87 + $361.85

Bond Price = $880.72

6 0

2 years ago

After the elimination period, a totally disabled insured qualified and started receiving benefits from his disability income pol

Andrej [43]

A premium will be waived

7 0

2 years ago

If the world's population increased exponentially from 5.937 billion in 1998 to 6.771 billion in 2008 and continued to increase

Vaselesa [24]

Answer:

The world's population would have been 7.1137 billion in 2012, and this is 0.0437 billion (i.e. 7.1137 - 7.07 = 0.0437) higher compared to the population reference bureau estimate of 7.07 billion in July 2012.

Explanation:

This can be computed using the following exponential formula:

P(t) = P(0)a^t ............................ (1)

Where;

P(t) = World population in year t.

P(0) = World population in year 0 which is 1998 = 5.937 billion

a = base = ?

t = number of years

Substituting the value into equation (1), we have:

P(t) = 5.937 * a^t .......................................... (2)

Since we have 10 years from 1998 to 2008 (i.e. 2008 - 1998 = 10), we have:

P(t) = P(10) = World population in 2008 = 6.771 billion

t = 10

Substituting the value into equation (2) and solve for a, we have:

6.771 = 5.937 * a^10

a^10 = 6.771 / 5.937

a^10 = 1.1405

a = $\sqrt[10]{1.405}$

a = 1.013

Since we have 14 years from 1998 to 2012 (i.e. 2012 - 1998 = 14), we now have:

P(t) = P(14) = World population in 2012 = ?

P(0) = World population in year 0 which is 1998 = 5.937 billion

a = 1.013 as already calculated above

t = 14

Substituting the value into equation (1), we have:

P(14) = 5.937 * 1.013^14

P(14) = 5.937 * 1.192

P(14) = 7.1137 billion

Therefore, the world's population would have been 7.1137 billion in 2012, and this is 0.0437 billion (i.e. 7.1137 - 7.07 = 0.0437) higher compared to the population reference bureau estimate of 7.07 billion in july 2012.

6 0

3 years ago

jounralize and post closing entries and complete the closing process list all debit entries before credit entries credit account

DochEvi [55]

Preparing closing entries, which involves journalizing and uploading the entries to the ledger, is the eighth phase in the accounting cycle. During closure, there are four entries. To the Income Summary account, the initial entry cancels revenue accounts.

<h3>What order should the steps for closing an account be taken in?</h3>

Following is the basic order of closing entries: Clear the balances in the revenue accounts by debiting each revenue account and crediting the income summary account. To eliminate the balances in all expenditure accounts, credit all expense, accounts and debit the revenue summary account.

A journal entry debiting all revenue accounts and crediting the income summary is used to accomplish this. The same procedure is then used to calculate expenditures. Crediting the expense accounts and debiting the income summaries closes out all expenditures.

To know more about closing entries, refer:

brainly.com/question/13469087

#SPJ4

7 0

1 year ago