The answer is: B, A boss who is respectful and cooperative. Hope this helped.
Answer:
Interest paid in cash in 2018 = $0
Interest recognized on the Income statement = $1,800
Liabilities recognized = $90,000
Amount paid for Principal and interest = $93,600
Interest reported on 2019 Income statement = 1800
Explanation:
Interest paid in cash in 2018 is zero because interest and principal were paid in cash on the maturity date.
Interest recognized in 2018 = 90000*0.08*3/12 = $1800
liabilities are recognized at original amount because the interest is not capitalized and no payment made thus far.
Amount paid on maturity date is 93,600 ( 90000 principal, 3600 interest)
interest reported is for three months jan - march
Answer:
C) 4.2 years
Explanation:
The computation of the payback period is as follows;
As we know that
Payback Period = Initial cost ÷ Annual net cash flow
Here
Initial cost = $278000
Annual net cash flow = Incremental after tax + Depreciation per year
where,
Depreciation per year = (Original cost - Salvage value) ÷ Estimated Life
= ($278,000 - $30,000) ÷ 8 years
= $31,000
Annual net cash flow is
= $35000 + $31000
= $66000
So,
Payback Period is
= $278000 ÷ $66000
= 4.2 Years
A solution that will help in the agency problem in terms of
publiclyminus – held corporations is by through having bonuses in the company
or organization that will be based on primarily the short term results that
they have acquired in the company.
