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3 years ago

The price quotations of Treasury bonds in the Wall Street Journal show an ask price of 104.25 and a bid price of 104.125.

Business

1 answer:

Andreas93 [3]3 years ago

5 0

As a seller we would receive $1,041.25

Solution:

You may receive the bid price of the dealer, $104.125\%$ of $1,000, or $1,041.25

Prices of treasury bonds are expressed as par value amounts.

The quote price of 104:25 means that the bond is priced at $(104 + \frac{25}{100})\%= 104.25\%$ of the par value.

Therefore, if the debt is $1,000, the dollar values to be charged by the borrower should be $1,000\times104.25\% = \$1,041.25$

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Samuel's Mexican Restaurant incurred salaries expense of $ 64,000 for 2018. The payroll expense includes employer FICA tax, in

barxatty [35]

Answer:

SAMUEL's MEXICAN RESTAURANT

Date Description DR CR

2018 Salaries expenses 64,000

Decduction 15,000

cash 49,000

Employee benefit 8,180

Health insurance 2100

Life Insurance 320

Retirement benefit 5760

Explanation:

8 0

3 years ago

Texas Corporation is undergoing a complete liquidation and distributes land to Robert, one of its shareholders, in exchange fo

Oxana [17]

Answer:

Loss to be recognized is $25000

Explanation:

Liquidation refers to a process whereby a company's operation come to an end, which leads to distribution of assets and liabilities to the claimants and winding up the business.

A company may be forced to liquidate owing to consistent losses. In such cases, the claims of all the stakeholders cannot be satisfied and they receive pro-rata basis allocation which covers everybody's claim to an extent, if not fully.

In the given case,

Robert's receipt is Land. Liabilities attached to the land being $325,000 while the land has fair market value of $400,000.

Thus, after assuming the liability, Robert's actual realized amount is,

$400,000 - $325,000 = $75,000

Since, the land was received in consideration for discharge of Robert's own share in company amounting to $100,000.

Thus, Gain/Loss to be recognized by Robert = $75, 000 (receipts) - $100,000

= - $25,000

i.e Robert should recognize a loss of $25,000.

4 0

4 years ago

Capacity management, denominator-level capacity concepts. Match each of the following numbered descriptions with one or more of

arsen [322]

Answer:

1. Theoretical and Practical capacity: Measures the denominator level in terms of what a plant can supply

2. Theoretical capacity: Is based on producing at full efficiency all the time.

3. Master-budget capacity utilization: Represents the expected level of capacity utilization for the next budget period.

4. Normal and Master-budget capacity: Measures the denominator level in terms of demand for the output of the plant.

5. Normal capacity utilization: Takes into account seasonal, cyclical, and trend factors.

6. Master-budget capacity utilization: Should be used for performance evaluation in the current year.

7. Theoretical capacity: Represents an ideal benchmark.

8. Theoretical and Practical capacity: Highlights the cost of capacity acquired but not used.

9. Master-budget capacity utilization: Should be used for long-term pricing purposes.

10. Normal and Master-budget capacity: Hides the cost of capacity acquired but not used.

11. Theoretical and Practical capacity: If used as the denominator-level concept, would avoid the restatement of unit costs when expected demand levels change.

Explanation:

Capacity is the maximum level of output that an organization can optimally sustain, to produce goods or provide service to meet it's customer demands.

The denominator-level capacity is a concept used under the capacity management. Denominator-level capacity concept is used to ascertain the capacity level that is considered for analyzing a production process or business operations. They are classified as follows;

i. Normal capacity utilization is based on the level of capacity utilization which satisfy the average customer demand periodically such as trend, cyclical and seasonal factors.

ii. Master-budget capacity utilization is based on the level of capacity expected for the current budget period, typically a year.

iii. Theoretical capacity is the denominator-level concept based on producing continuously at full efficiency.

iv. Practical Capacity is based on the level of capacity that involves unavoidable operating interruptions, such as scheduled equipment maintenance or repair time, holiday shutdowns etc.

7 0

4 years ago

In this market, the equilibrium hourly wage is $ , and the equilibrium quantity of labor is thousand workers. Suppose a senator

olga2289 [7]

Answer:

The equilibrium hourly wage is the wage where the curve of supply of labor intersects with that of the demand for labor. The same goes for the equilibrium quantity of labor.

The equilibrium hourly wage is $10, and the equilibrium quantity of labor is 450 thousand workers.

If a Senator introduces a minimum hourly wage, this is considered a Price Floor. 

Price floors are prices that that the government mandates that one cannot charge below for a good or service. If there is a price floor on cake for instance, a person is not allowed to charge less than that price floor for cake. The Senator's bill is therefore saying that people should not be paid less than $6 an hour.

7 0

3 years ago

What are 3 advantages of going to trade/vocational schools after high school?

svetlana [45]

Answer:

1 It is a form of entertainment

2 you can dedicate time to your passions

3 they're helpful for your mental health

6 0

3 years ago