Answer: Capital investment in new machinery
Capital investment in new machinery enables a company to produce more over a given period of time as compared to the old machine.
It also helps the company to take advantage of new orders in the markets and helps it increase its share in catering to the demand for its products
Answer:
Option "B" is the correct answer to the following statement.
Explanation:
A coupon bond contract, also abbreviated to as a holder stock, is a debt with a stamp that also has tiny attachable vouchers. The vouchers grant the buyer the opportunity to make interest charges from the lender.
In a coupon bond, an investor gets the face value of the bond on maturity with a fixed interest payment.
Answer:
The account balance after 4 years will be $2,420.
Explanation:
First we need to add Bob and Judy's amount to find the total amount that will be deposited. (1260+975)=2,235.
Now we will break up the annual interest into monthly interest because it will be compounded monthly. 2/12=0.166.
Then we will break up the 4 years into months also because the interest is compounded monthly. 4*12=48
Now we use the formula for compound interest
Final amount = Principal*(1+R)^N
Principal = 2,235
R= 0.166% or 0.00166
N= 48
We put these values into our formula
2,235*(1+0.00166)^48
=2,420
Answer:
a Interest paid to partners based on the amount of invested capital.
Explanation:
A partnership is formed between two parties that agree to go into a venture for mutual gain. The parties share ownership of the business entity and as such are entitled to profit from their equity holdings.
Interest paid based on invested capital is considered a distribution of profit by the business and not an expense. This is similar to sharing profit to shareholders in a company.
Legitimate expenses include: cost of sales, staff cost, administrative costs, advertising costs, and professional expenses like hiring an accountant.
