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
aleksandrvk [35]
3 years ago
9

Present Value of Bonds Payable; Premium Moss Co. issued $100,000 of four-year, 12% bonds with interest payable semiannually, at

a market (effective) interest rate of 11%. Determine the present value of the bonds payable, using the present value tables in Exhibit 8 and Exhibit 10. Note: Round to the nearest dollar.
Business
1 answer:
alex41 [277]3 years ago
5 0

<u>Solution and Explanation:</u>

Face Value of Bonds = $100,000

Annual Coupon Rate = 12.00% , Semi-annual Coupon Rate = 6.00%

Semiannual Coupon = 6.00% * $100,000 , Semiannual Coupon = $6,000

Annual Interest Rate = 9.00% , Semiannual Interest Rate = 4.50%

Time to Maturity = 5 years , Semiannual Period = 10

Present Value of Bonds  

=\$ 6,000 * \text { PVA of } \$ 1(4.50 \%, 10)+\$ 100,000 * \text { PV of } \$ 1(4.50 \%, 10)

Present Value of Bonds =\$ 6,000 * 7.91272+\$ 100,000 * 0.64393

Present Value of Bonds = $111,869

So, present value of the bonds payable is $111,869

You might be interested in
What is institutional advertising focused on promoting?
ValentinkaMS [17]

Answer:

Product advertising focuses on promoting specific individual products while institutional advertising focuses on your overall brand

8 0
2 years ago
Read 2 more answers
Based on a predicted level of production and sales of 15,000 units, a company anticipates reporting operating income of $22,000
Arisa [49]

Answer:

Total variable cost= 90,000

Total fixed costs= 8,000

Total costs= $98,000

Explanation:

Giving the following information:

Production of 15,000 units:

Fixed costs= $8,000

Total variable cost= $75,000

We have no reason to believe that the fixed costs will change. If 18,000 units remain in the relevant range, the fixed costs are constant.

<u>We need to calculate the unitary variable cost:</u>

Unitary variable cost= 75,000/15,000= $5

Now, for 18,000 units:

Total variable cost= 5*18,000= 90,000

Total fixed costs= 8,000

Total costs= $98,000

5 0
3 years ago
Gather secondary data by reading what others have experienced and observed. You should begin nearly every research project by re
STatiana [176]

Answer:

C. Periodicals

Explanation:

In this case the most recommended source for use would be the periodicals.

Periodical publications are scientific publications made in electronic or on paper that address different topics and are published at regular intervals. So this would be a good source to enrich a research project with up-to-date information on the subject that you want to collect information about.

5 0
2 years ago
Product X-547 is one of the joint products in a joint manufacturing process. Management is considering whether to sell X-547 at
Sphinxa [80]

<u>Solution and Explanation:</u>

The correct answer is I, II, III, and IV

The reason behind is that joint cost is always related to the multifarious products.  Joint expense is the assembling cost brought about on a joint creation process which takes regular sources of info however at the same time delivers various items called joint-items, for example, preparing of raw petroleum at the same time yields gas, diesel, stream fuel, greases and different items.  

So, as to apportion expenses to such joint items, bookkeepers need to utilize an appropriate cost portion technique on a predictable premise. The joint cost alludes to that cost which is brought about before the split-off point on the creation or assembling of numerous items, by expending similar data sources or factors of creation.

5 0
2 years ago
29. Fiona has initiated a project to establish a company website for interactive electronic commerce that encourages customers t
vichka [17]

Answer:

D) Relationship marketing

Explanation:

Relationship marketing is a strategy companies use to connect with their customers, build relationships and ensure loyalty. It involves engaging customers over a lengthy period to know their needs and then providing them with products or services tailored to satisfy those needs.

By initiating a project to build a website and encouraging customers to provide certain information to the company, Fiona plans to use the Internet for "relationship marketing".

5 0
2 years ago
Other questions:
  • The clientele of black &amp; company's audit practice consists primarily of privately-owned small and middle market companies. r
    13·2 answers
  • What is psychology? ​
    6·2 answers
  • Jepmem Inc is expanding its global operations into North Pidlin, even though the country has a high global terrorism index. As J
    12·1 answer
  • 26. Given a normal market supply curve for ice cream, if the surgeon general states that ice cream causes cancer, then:________
    7·1 answer
  • o decide whether or not to buy a season ski pass. A daily pass costs ​$80. A season ski pass costs ​$450. The skier would have t
    9·1 answer
  • A company's general ledger shows a cash balance of $4,590. Comparing the company's cash records with the monthly bank statement
    9·1 answer
  • You want to invest an amount of money today and receive back twice that amount in the future. You expect to earn 9 percent inter
    14·1 answer
  • Jones Company allocates manufacturing overhead based on machine hours. Each chair produced should require 3 machine hours. Accor
    5·1 answer
  • Nicholas is the production manager for a manufacturing firm. He has two supervisors who are experiencing conflict with each othe
    13·1 answer
  • Not knowing the roles of key players in the buying process could cause a sales representative to?
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!