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ZanzabumX [31]
3 years ago
15

X2 issued callable bonds on January 1, 2018. The bonds pay interest annually on December 31 each year. X2's accountant has proje

cted the following amortization schedule from issuance until maturity: Date Cash Paid Interest Expense Decrease in Carrying Value Carrying Value 1/1/2018 $114,015 12/31/2018 $13,750 $13,112 $638 113,377 12/31/2019 13,750 13,038 712 112,665 12/31/2020 13,750 12,956 794 111,872 12/31/2021 13,750 12,865 885 110,987 12/31/2022 13,750 12,763 987 110,000 What is the annual stated interest rate on the bonds?
Business
1 answer:
Orlov [11]3 years ago
6 0

Answer:

7%

Explanation:

Base on the scenario been described in the question, we can use the following method to solve the given problem

The annual stated interest rate on the bonds is gotten by

$7,000/$100,000

= 7%. As our answer.

You might be interested in
if the marginal tax rate is equal to the average tax rate as taxable incomme increases, the tax structure is
gregori [183]

Answer:

B) proportional

Explanation:

In the case of the proportional tax structure the marginal tax rate should be equivalent to the average tax rate without considering the high level of taxable income or low level of taxable income

Therefore in the given case, the tax structure should be proportional

hence, the correct option is B

And, the same is to be considered

5 0
2 years ago
5. What is the purpose of a consumer cooperative?
Neko [114]
I think the answer is d
7 0
2 years ago
In 2002 Ortega's nominal income rose by 4.6 percent and the price level rose by 1.6 percent. We can conclude that Ortega's real
monitta

Answer:

c rose by 3 percent.

Explanation:

Real income is nominal income less price level changes.

Real income = nominal income - changes in price level

4.6 % - 1.6% = 3%

I hope my answer helps you

4 0
3 years ago
Crossroad chooses to report a financial asset at its fair value. The asset trades in two different markets; however, neither mar
Alex

Answer:$81

Explanation:

The options given are:

a. $76

b. $80

c. $81

d. $82

If the principal market that is, the market that the greatest volume of activity can't be identified, then the most advantageous market would be used to determine the fair value of a financial asset.

The most advantageous market is the market that has the highest net price, after transaction cost has been considered even though the transaction costs is not included into the fair value. Therefore, the second market gives the highest net price of $80 after the consideration of the transaction costs, hence, it should be utilized for fair value purposes.

The fair value amount include the transaction costs, which give $80 + $1 = $81

The fair value amount is $81.

5 0
2 years ago
Global location decisions are made to optimize the performance of the supply chain and be consistent with the firm's competitive
Flura [38]

Answer:

True

Explanation:

Supply Chain Management is the integrated management of material, information and money flow that enables the customer to reach the right product at the right time, at the right place, at the right price, at the lowest possible cost for the entire supply chain. In other words, creating strategies and business models that will increase customer satisfaction by integrating the basic business processes in the chain. A supply chain is a set of relationships and links that enable the movement of products between suppliers, manufacturers, wholesalers, distributors, retailers and ultimately consumers. It covers all successive rings from the procurement stage of goods and services to production and delivery to the final consumer. In terms of business processes, supply chain; sales process, production, stock management, material supply, distribution, procurement, sales forecasting and customer service.

Consequently, the location is the one of the most important factors of supply chain in the profitability terms. If the company is on the perfect location in the meaning of proximity to customers, or other supply channels it would be great asset for the firm or company. That's why it is pretty important for companies in the global markets to make decisions about the location. Of course, this will optimize the performance of supply chain and make consistent with the firm's or company's competitive strategy.

5 0
3 years ago
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