Answer:
Journal entry is given below
Explanation:
To record the payment of interest and the discount amortization at the end of period 1 we should debit the Interest expense and credit cash and discount
DATA
Interest expense in year 1 = $38,936
Interest to be paid = $36,450
Discount amortization = $2,486
Entry DEBIT CREDIT
Bond interest expense $38,936
Cash $36,450
Discount on bonds $2,486
The answer is:
(1) who had the name first
(2) whether there would be confusion in the market as to which company was which
(3) whether the name was so well known that it would instantly be associated with one of the companies
who first had the name need to be considered in order to obtain legal ownership of the domain. Finding out whether the name is already familiar in the market is being done in order to ensure that company's effort is not falsely accredited to another company.
Answer:
The answer is given below;
Explanation:
XYZ
Extracts from Balance Sheet
As at XXXXX
Current Liabilities
Current portion of long term loan *$25,000
Long Term Liabilities
Long Term Loan $25,000
As the 50% of the loan will be repaid in next year, therefore ($50,000/2) will be shown in current liabilities. The rest of the loan is shown as long term loan as it will be repaid after 12 months.
Cost volume profit shows the relation between sales volume, price and costs, these three factors affects the profit of company. Such CVP analysis used in decision making for the company. Profit volume(PV) ratio is one of the ratio from CVP analysis. PV ratio is the ratio between Contribution and sales of the company.
For example:- Let's say Sales of the company is $10,000,000 and variable cost = $3,585,000
Contribution will be Sales-variable cost = $10,000,000 - $3,585,000 = $6,415,000
PV ratio = Contribution/sales *100 = $6,415,000 / $10,000,000 * 100 = 64.15%
Here in this example, PV ratio of 64.15% is the contribution before fixed cost that a company has earned from its sales.
Break Even Analysis:-
Break even analysis show the situation where the company is at zero profit situation, means no profit no loss situation. Break even analysis or the break even point is the point that given the level at which company earns no profit or incurred no loss. Break even point is one of the analysis that comes under Break even analysis. Break even analysis is the ratio between fixed cost and PV ratio (%) of the company.
For example;- Let's say in the above example Fixed cost of the company is $1,300,000 and PV as calculated in the above example is 64.15% , Break even point will be Fixed cost / PV ratio = $1,300,000 / 64.15% = $2,026.500. This is the point where company is at zero profit/loss situation means company incurred no loss and earned zero profit.
