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MrMuchimi
3 years ago
7

Michael company issued 8% bonds with a par value of 1,000,000 receiving 20,000 premium on the interest date 5 years later, after

the bond interest was paid and after 40% of the premium had been amortized, the corporation purchased the entire issue on the open market at 99 and retired it. The gain or loss on this retirement is:
a. $10,000 gain.
b. $22,000 loss.
c. $10,000 loss.
d. $22,000 gain.
e. $0 .
Business
1 answer:
sattari [20]3 years ago
6 0

Answer:

option D - $22,000 gain

Explanation:

the gain can be calculated by using the following relation

Face Value + Unamortized Premium - Purchase Price = gain

where,

Face Value - $1,000,000

 Unamortized Premium - 60% x $20,000

Purchase Price - 99% x $1,000,000

putting all value to get gain or loss on the retirement

= $1,000,000 + (60% x $20,000) - (99% x $1,000,000)

=  $22,000 gain

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Jones Company incurred the following costs while producing 100 chairs: Units produced 100 chairs Direct materials $10 per unit D
Vikentia [17]

Answer:

The answer is: The ending balance in Finished Goods Inventory is $1,200

Explanation:

First we have to calculate the cost per chair produced, to do this we will find the total cost and divide by the number of chairs produced:

Units produced  100 chairs

  • Direct materials  $10 per unit  x 100 = $1,000
  • Direct labor  15  per unit  x 100 = $1,500
  • Variable manufacturing overhead 3 per unit x 100 = $300
  • Total fixed manufacturing overhead  $2,000

Total costs are $4,800 / 100 chairs = $48 per chair produced

There are 25 chairs left in finished goods inventory (FGI) = 100 - 75 = 25

The ending balance in FGI is = 25 chairs x $48 per chair = $1,200

3 0
3 years ago
Tyson Inc. is currently trading at $18 per share. The company is expected to pay a dividend of $1.63/per share next year. The di
viktelen [127]

Answer:

$20.38  buy

Explanation:

The computation of present value is shown below:-

Fair Value according to Gordon Model = Expected Div ÷ (Required Return - Growth rate)

= $1.63 ÷ (10.5% - 2.5%)

= $1.63 ÷ 8%

= $20.38

Fair Price = $ 20.38 and Actual Price = $18.00

As Fair Price is greater than the Actual Price so, the stock is under priced. Therefore advice to buy.

5 0
3 years ago
How many questions does Brainly let you ask ???
crimeas [40]

Answer:

Depends on the amount of points you have, as long as you have 10 points at all times you can always a question. It is pretty much unlimited until you run out of points, once you run out you can always answer someones questions to get more points to ask more questions!

Explanation:

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3 years ago
Which of the following is a characteristic of an unstructured interview? a. Conducted by a professional interviewer b. Focuses o
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Unstructured Interviews are common in small businesses. Option C is correct.

<h2>What is an Unstructured Interview?</h2>
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  • Unstructured interviews are more casual and unrehearsed than structured interviews in which prearranged, standardized questions are asked.
  • This provides free-flowing conversation on respondents' personal qualities and knowledge related to relate to the work.

Since in small companies, the work areas of employees are wider than the big corporate.

Therefore, unstructured Interviews are commonly used in small businesses to get a deeper understanding of respondents' personal qualities related to work.

To know more about Unstructured:

Interview:brainly.com/question/12208322

5 0
2 years ago
A U.S. manufacturer of adaptive devices for persons with disabilities is considering expanding internationally. It is a fairly s
denis23 [38]

He should consider exporting since it's a fairly small company.

Explanation:

The manufacturer doesn't have enough knowledge of the country it is expanding it market to and it doesn't have much experience since it is a small company so exporting it's products will push costs such as shipping to the customer which will relief if from making exchange losses and other expenses.

#learnwithbrainly

6 0
3 years ago
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