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taurus [48]
3 years ago
12

Wilson company paid 6,700 for a 4-month insurance premium in advance on November 1, with coverage beginning on that date. The ba

lance in the prepaid insurance account before adjustment at the end of the year is 6,700, and no adjustments had been made previously. The adjusting entry required on December 31 is:
Business
1 answer:
Angelina_Jolie [31]3 years ago
6 0

Answer:

Given that,

Total prepaid insurance = $6,700

Monthly insurance:

= Total prepaid insurance ÷ 4 months

= $6,700 ÷ 4 months

= $1,675

Insurance expense for two months:

= $6,700 - $1,675

= $5,025

Therefore, the adjusting entry required on December 31 is as follows:

Insurance expense A/c Dr. $5,025

          To Prepaid insurance           $5,025

(To record the adjusting entry for the insurance)

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Cost-Volume-Profit Relations: Missing Data Following are data from 4 separate companies. Supply the missing data in each indepen
nikklg [1K]

Cost-Volume-Profit Relations: Missing Data Following are data from 4 separate companies. Supply the missing data in.

What is margin ?

The collateral that an investor must deposit with their broker or exchange in order to cover the credit risk the holder poses for the broker or exchange is known as a <u>margin </u>in the financial industry. If an investor borrows money from their broker to purchase financial assets, borrows money to sell those same instruments for a loss, or enters into a derivative transaction, credit risk is created.

An investor who purchases an asset on margin does so by taking out a broker loan for the remaining amount. When an investor purchases an asset on margin, they make a smaller initial payment to the broker and put up collateral in the form of marginable securities in their brokerage account.

To learn more about margin with the help of given link:

brainly.com/question/28196279

#SPJ4

3 0
1 year ago
MV Corporation has debt with market value of $ 95 ​million, common equity with a book value of $ 102 ​million, and preferred sto
irakobra [83]

Answer:

Total market value $383.8 million

Debt is 24.75%

Preferred stock is 5.21%

Common equity is 70.03%

Explanation:

Calculation of the weights that MV Corporation should use in its WACC

Debt value : $95 million

Preferred stock value : $20 million

Market value of common equity:

$48 per share×5.6million shares= $268.8 million

Total market value of firm: $95 +20 +268.8 =$383.8 million

Weights for WACC calculation:

Debt =95/383.8

=24.75%

Preferred Stock =20/383.8

=5.21%

Common Equity =268.8/383.8

=70.03%

Therefore the total market value of the firm will be $383.8 million Debt is 24.85% of the total value, preferred stock is 5.21%, and common equity is 70.03%

4 0
4 years ago
Petro Refining Corporation makes payments to potential customers, suppliers, and others with whom they might do business, includ
Licemer1 [7]

Answer:

Illegal if the payment made will in violation of the Foreign Corrupt Practices Act.

Explanation:

The foreign corrupt practices act says that the companies must not bribe foreign government or privae officials to illigimate business benefits. So this act is illegal according to the rules and regulations set by the US legislation.

6 0
3 years ago
When starting a new job, the form you complete to determine how much tax to withhold from your paycheck is called the _______.
Tamiku [17]
The form that you need to complete is called the Form W-4. This is use to compute the correct withholding tax of the employee base on written status, tax credits and allowances, other income and others. Should there be changes in any of those written above, the employee must update this form.
4 0
3 years ago
Rahul needs a loan and is speaking to several lending agencies about the interest rates they would charge and the terms they off
svp [43]

Answer:

b. 10.426%

Explanation:

Using the attached formula, convert the nominal rate to effective annual rate

<em>m</em> in the formula is the number of compounding periods per year; 12/2 = 6 in this case.

APR is the nominal rate which is 10%.

Next, plug in the numbers to the formula as shown below;

EAR = [1+\frac{0.10}{6}]^{6} -1

EAR = 1.10426-1

EAR = 0.10426 or 10.426% as a percentage

Hence choice B is correct.

3 0
3 years ago
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