1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Aneli [31]
3 years ago
14

Patrick Rach International issued 5% bonds convertible into shares of the company's common stock. Rach applies U.S. GAAP. Upon i

ssuance, Patrick Rach International should record:-The proceeds of the bond issue as part debt and part equity-The proceeds of the bond issue entirely as debt-The proceeds of the bond issue entirely as equity-The proceeds of the bond issue entirely as debt if the bonds are mandatorily redeemable
Business
1 answer:
Ludmilka [50]3 years ago
6 0

Answer:

The correct answer is letter "B": The proceeds of the bond issue entirely as debt.

Explanation:

Under the U.S. General Accepted Accounting Principles (<em>GAAP</em>) the issuance costs of bonds are ignored for reporting purposes but the amount of sales revenues is recorded as debt. The amortization of the bond can be calculated using the <em>effective interest method</em> or the <em>straight-line method</em>.

You might be interested in
Read the thesis statement from a historical essay. Determine which type of claim the author is making (claim of fact, definition
mafiozo [28]

Answer:

im not 100% but think this is right

Explanation:

the author is making a claim of fact, because he is claiming that  provides no economic benefits.  im not sure about the second part

5 0
2 years ago
Seller Dayne was made aware by the trustee that the lender was wanting to proceed with foreclosure on his property. What type of
elena55 [62]

Answer:

Promissory agreement and Deed of trust.

Explanation:

In this scenario, Seller Dayne was made aware by the trustee that the lender was wanting to proceed with foreclosure on his property. The type of financial agreement that Seller Dayne have with this lender is a Promissory agreement and Deed of trust.

A promissory agreement can be defined as an evidence of a debt and as such involves the use of a legal financial tool such as a promissory note as a written promise to declare that a party (borrower) would pay another (lender) at a specific period of time.

On the other hand, a deed of trust can be defined as a legal document used by a party (borrower) to pledge his or her property to another party (lender) as guarantee or collateral for the repayment of a loan. The deed of trust is typically made up of three (3) parties; the lender, borrower and a trustee.

Additionally, a foreclosure on a property refers to a legal procedure whereby the property being pledged by a borrower for a debt is sold to pay off the debt as a result of defaulting in payments or terms with respect to a loan.

6 0
3 years ago
Great Lakes Steel Supply is losing significant market share and thus its managers have decided to decrease the firm's annual div
Colt1911 [192]

Answer:

There's an error in the numbers for this question; I found the correct one and pasted it below;

"Great Lakes Steel Supply is losing significant market share and thus its managers have decided to decrease the firm's annual dividend. The last annual dividend was $1.30 per share but all future dividends will be decreased by 2.75 percent annually. What is a share of this stock worth today at a required return of 15.5 percent? "

Explanation:

Use dividend discount model (DDM) to calculate the stock price

P0 = \frac{D0(1+g)}{r-g}

whereby,

P0 = Current price

D0 = Last dividend paid = 130

g = growth rate = -275% or -2.75 as a decimal

r = required return = 155% or 1.55 as a decimal

Next, plug in the numbers to the DDM formula above;

P0 = \frac{1.30(1-0.0275)}{0.155 + 0.0275} \\ \\ = \frac{1.2643}{0.1825} \\ \\ =6.9277

Therefore this stock is worth $6.93

6 0
3 years ago
When Theo complained out loud that the hotel restaurant did not serve breakfast late enough in the morning, a hotel worker overh
11111nata11111 [884]

Answer:

The correct answer is E. respond quickly

Explanation:

Respond quickly is a great strategy to gain customers' fidelity.

7 0
3 years ago
PLZZZZZ HEELLPP FASST
Nonamiya [84]
One of the main reasons that stocks do not reflect the health of the economy most of us experience is the rise of stock buybacks. Companies often push stocks higher, partly and arguably, to raise the value of the stock options of their management by buying them on the open market.

HOPE THIS HELPS
6 0
3 years ago
Other questions:
  • When interest rates are low, some automobile dealers offer loans at 0% APR, as indicated in a 2016 advertisement by a prominent
    11·1 answer
  • Levon is writing a persuasive message. what is the first task his message should accomplish?
    15·2 answers
  • Which of the following statements is​ FALSE?
    7·1 answer
  • Agile teams require motivated members with a higher level of commitment, and agile teams have all of the following desirable tra
    6·1 answer
  • Dunay Corporation is considering investing $750,000 in a project. The life of the project would be 11 years. The project would r
    15·1 answer
  • Preparing adjusting entries LO P1, P3, P4
    6·1 answer
  • Liabilities are amounts you _____. (1 point) owe consider assets avoid add to your assets
    5·2 answers
  • What criteria must your employer-provided PPE meet?
    7·1 answer
  • You all are talking about kidz bop they are actually remixing music so family and kids younger and listen to them but you are ju
    12·2 answers
  • the greatest challenge of researching in the information age is managing our flow of knowledge to ensure we encounter reliable a
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!