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adelina 88 [10]

3 years ago

6

A truck costs $50 when new and has accumulated depreciation of $25. ABC Company exchanges the truck for a new truck. The new tru

ck has a market value of $70, and ABC pays cash of $40. Assume the exchange has commercial substance. What is the result of this exchange

1 answer:

GREYUIT [131]3 years ago

3 0

I can’t see the question

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Both Bond Sam and Bond Dave have 7.3 percent coupons, make semiannual payments, and are priced at par value. Bond Sam has three

Zarrin [17]

Answer:

Sam change: -5.13%

Dave change -18.01%

Explanation:

If interest rate increase by 2%

then the YTM of the bond will be 9.3%

We need eto calcualte the present value of the coupon and maturity of the bond at this new rate:

<em><u>For the coupon payment we use the formula for ordinary annuity</u></em>

$C \times \frac{1-(1+r)^{-time} }{rate} = PV\\$

Coupon payment: 1,000 x 7.3% / 2 payment per year: 36.50

time 6 (3 years x 2 payment per year)

YTM seiannual: 0.0465 (9.3% annual /2 = 4.65% semiannual)

$36.5 \times \frac{1-(1+0.0465)^{-6} }{0.0465} = PV\\$

PV $187.3546

<u><em>For the maturity we calculate usign the lump sum formula:</em></u>

$\frac{Maturity}{(1 + rate)^{time} } = PV$

Maturity: $ 1,000.00

time: 6 payment

rate: 0.0465

$\frac{1000}{(1 + 0.0465)^{6} } = PV$

PV 761.32

Now, we add both together:

PV coupon $187.3546 + PV maturity $761.3154 = $948.6700

now we calcualte the change in percentage:

948.67/1,000 - 1 = -0.051330026 = -5.13

For Dave we do the same:

$C \times \frac{1-(1+r)^{-time} }{rate} = PV\\$

C 36.50

time 40

rate 0.0465

$36.5 \times \frac{1-(1+0.0465)^{-40} }{0.0465} = PV\\$

PV $657.5166

$\frac{Maturity}{(1 + rate)^{time} } = PV$

Maturity 1,000.00

time 40.00

rate 0.0465

$\frac{1000}{(1 + 0.0465)^{40} } = PV$

PV 162.34

PV c $657.5166

PV m $162.3419

Total $819.8585

Change:

819.86 / 1,000 - 1 = -0.180141521 = -18.01%

6 0

3 years ago

Following are the average accounts receivable and net sales reported recently by two large bever age companies (dollar amounts a

Vlada [557]

Answer:

A) Accounts receivable turnover ratio = Net credit sales / Average accounts receivable

The following table shows the accounts receivable turnover ratio of MCB and ABI:

Particulars MCB ABI

Net sales $8320 $17400

Average Accounts Receivable $720 $900

Accounts Receivable Turnover rate 11.5 19.3

B)

Day's sale outstanding = Accounts receivable / Total credit sales × 365

The following table shows the days sale outstanding of MCB and ABI:

Particulars MCB ABI

Net sales $8,320 $17,400

Average Accounts Receivable $720 $900

Day's sale outstanding 31.58 18.88

Explanation:

3 0

3 years ago

For calendar year 2020, Stuart and Pamela Gibson file a joint return reflecting AGI of $357,700. Their itemized deductions are a

sesenic [268]

Answer:

$56,130

Explanation:

Calculation to determine what the amount of itemized deductions the Gibsons may claim for the year is

Stuart and Pamela Gibson

Casualty loss $17,430

[$53,200 – (10% × $357,700)]

Home mortgage interest 21,280

State tax 10,000

(18,000 income and 16,300 property

Limited to 10,000)

Charitable Contributions 28,700

Total itemized deductions $56,130

Therefore the amount of itemized deductions the Gibsons may claim for the year is $56,130

3 0

3 years ago

Marin Inc. has an investment in trading securities of $143000. This investment experienced an unrealized loss of $7300 during th

weeeeeb [17]

Answer:

This would be the loss on paper only.

Explanation:

Given investment trading securities = $143000

During the current year, the loss experienced on investment = $7300

The tax rate = 33%

However, this loss that is reported as the part of other comprehensive income would be the loss on paper only because the actual loss can be seen when the stock is sold but this unrealized loss is on paper only so there will no effect of this loss in comprehensive income.

6 0

3 years ago

The key to any successful product promotion is selecting the right promotional mix. True False

elena-s [515]

True. In order to productively promote a product you need to know what characteristics to promote and how much in order to get more buyers attention. Please mark my answer brainliest so that I can move up to my next rank. Thank you and have a nice evening.

6 0

3 years ago