How much money is 75 pounds of gold worth?

The legal document identifying the rights and obligations of both the bondholders and the issuer is called the bond ______. This

V125BC [204]

Answer: indenture

Explanation:

The bond indenture is a legal contract that or covers a purchase obligation or a debt.

Therefore, the legal document identifying the rights and obligations of both the bondholders and the issuer is called the bond indenture. This document describes the number of bonds authorized, their par value, and the contract interest rate.

7 0

3 years ago

Lancaster Corp. is considering two equally risky, mutually exclusive projects, both of which have normal cash flows. Project A h

levacccp [35]

Answer:

Explanation:

IRR is the discount rate point where NPV equal to 0. Given, both projects have same NPV at 8%, when discount rate is higher than 8%, NPV of project A will decrease faster than that of project B because project A's IRR is lower than project B's IRR. When discount rate is lower than 8%, NPV of project A will increase faster than project B's.

We will go through each of the answer options:

A. If the cost of capital is 9%, Project A's NPV will be higher than Project B's. False

Explaination: Cost of capital here is higher than 8%, NPV of project A will be lower than that of project B.

B. If the cost of capital is 6%, Project B's NPV will be higher than Project A's. False

Explaination:

C. If the cost of capital is greater than 14%, Project A's IRR will exceed Project B's. False

Explaination: IRR is dependent on pattern of cashflows rather than cost of capital.

D. If the cost of capital is 9%, Project B's NPV will be higher than Project A's. True

Explaination: This is an opposite answer to option A.

E. If the cost of capital is 13%, Project A's NPV will be higher than Project B's. False

Explaination: When the cost of capital is 13%, NPV of project A is negative and NPV of project B is positive.

5 0

3 years ago

Cleveland Company purchased $2,700 of inventory on account from Pinto Industries on March 8th. The terms were 2/15, n/45. Clevel

Gala2k [10]

Solution:

Accounts Payable $2900

Cash $2691

Inventory $209

Cleveland didn't pay during the discount period,

So the amount due is $2,700 - 450 = $2,250

Cash was charged in freight charges prior to delivery of the invoice.

4 0

3 years ago

Barbara's Bakery purchased three new 7-year assets last year. She chose NOT to use Section 179 immediate expensing or take bonus

Serggg [28]

Answer:

b. $14,939

Explanation:

Property placed in service in 1st year:

Amount $

2nd quarter 15,000

3rd quarter 6,000

4th quarter 40,000

Total furnishing at beginning of 2nd Year $61,000

Half Year depreciation rate in 2nd Year as per Macrs table under "7 years life" assets, the applicable depreciation in the 2nd year is 24.49%

Thus, amount of depreciation expense is allowable in the current (second) year of ownership = $61,000 * 24.49% = $14938.90

6 0

3 years ago

What type of pricing involves summing the total unit cost of providing a product or service and adding a specific amount to the

Leviafan [203]

Answer:

a COST-BASED PRICING METHOD

Explanation:

COST-BASED pricing method is the type of pricing which involves summing the total unit cost of providing the product or services and adding a specific amount to the cost to arrive at the price. These costs includes all production cost in making the product available to the market and selling expenses incurred then add the desired amount of profit that the company wants to attain to come up the unit selling price of the product.

7 0

3 years ago