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jeka94
4 years ago
7

The Gorman Group issued $900,000 of 13% bonds on June 30, 2016, for $967,707. The bonds were dated on June 30 and mature on June

30, 2036 (20 years). The market yield for bonds of similar risk and maturity is 12%. Interest is paid semiannually on December 31 and June 30.
Required:
Complete the below table to record the company's journal entry. (Enter interest rate to 1 decimal place. (i.e. 0.123 should be entered as 12.3).)
Business
1 answer:
Charra [1.4K]4 years ago
8 0

Answer:

cash      967,707 debit

  premium on BP      67,707 credit

  Bnds Payable     900,000 credit

interest expense 58062.42  debit

premium on BP 437.58       debit

       cash                     58500 credit

Explanation:

procceds 967,707

face value 900,000

premium on bonds payable 67,707

<em><u>first interest payment</u></em>

carrying value x market rate

967,707 x 0.06 = 58062.42

then cash outlay

face valeu x bond rate

900,000 x 0.065 = 58,500

the difference will be the amortization

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Whirly Corporation’s contribution format income statement for the most recent month is shown below: Total Per Unit Sales (8,000
yarga [219]

Answer:

An increase in sale for 90 units, will increase the net income for 1$,170

Explanation:

<em>We are not given with any information of additional cost or special price for this units, so we use the current values.</em>

So we simply multiply the contribution per unit by the increase in sale.

Contribution Margin  x Δ sales = Δ income

13 x 90 = 1,170

Each unit contributes with 13 additional income, there are 90 additional units

Total income added 1,170

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4 years ago
Bridges, shopping centers, and other jobs that take months or years to complete and involve the work of many are called ______.
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Bridges, shopping centers, and other jobs that take months or years to complete and involve the work of many are called Project

What is project?

A project is any endeavour that is carefully planned to accomplish a specific goal, whether it is done alone or with others. It may also involve research or design.

An alternate perspective describes a project as a series of connected tasks that must be completed within specific time, budget, and other constraints.

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3 0
2 years ago
FunnyTime Products uses humor in its ads to communicate with its fun-loving consumers. What type of ads does FunnyTime Products
pashok25 [27]

Answer: (C) Emotional

Explanation:

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The emotional based advertisement include all the types of emotions so that the customers feel connected with the brand and the products in the market.

According to the given question, the Funny-time products  is basically using the emotional advertisement for communicating with the fun-loving customers. Therefore, Option (C) is correct answer.    

7 0
3 years ago
TJ's and Corner Grocery are all-equity firms. TJ's has 2,500 shares outstanding at a market price of $16.70 a share. Corner Groc
alexandr402 [8]

Answer:

$1.30

Explanation:

The valuation of TJ's = price per share * number of shares in issue

= $16.70 * 2,500 shares = $41,750.

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The price per share of Corner Grocery's offer = \frac{45,000}{2,500} = $18 per share.

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3 years ago
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Answer:

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4 years ago
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