Answer:
b. $461,820
Explanation:
The computation of the amount reported in the balance sheet is shown below:
But before that we need to find out the amortization of discount which is
= Purchased value of bond × interest rate of return - face value of bond × interest rate
= $456,200 × 10% - $500,000 × 8%
= $45,620 - $40,000
= $5,620
Now the amount reported is
= Purchased value + discount amortization
= $456,200 + $5,620
= $461,820
Hence, the option b is correct
Answer:
Comparative advantage
Explanation:
This concept of economics is comparative advantage that means one country has advantage of producing same product at lower cost than other. In this question China has comparative advantage over USA,
This may be due to different reasons.
1. Population of China is greater than USA, that is why employees are willing to work on low salaries in China as compared to salaries are offered in the US.
2. China is comparatively better in manufacturing industry as of with USA.
1. a balance sheet includes all except depreciation.
2. business do have to report their financial statements to the irs so this is true.
3. the loss that a company experiences when a service goes unused is a liability.
hope this helps ☺
Answer: $67600
Explanation:
Using the flow-to-equity method of valuation, the amount borrowed will be calculated thus:
NPV = $157000
Add : Initial investment = $640000
Present value of cash inflow = $797000
Less : Present value of Levered cash flow = $729400
Amount borrowed = $67600
Therefore, the amount borrowed is $67600.
