Answer:
Financing decision
Explanation:
Financing decision is concerned with borrowing and allocating funds for investments.
As such, the decision to borrowed 745,000 dollars and use the fund to build a new restaurant for 745,000 dollars is a financing decision.
Capital Budgeting decision-making process involves plans around any long term capital expenditures whose returns (cash inflows and outflow) are expected to be earned in more than a year.
Answer:
$441,495
Explanation:
Since the information is incomplete, I looked for the missing part and found the attached information.
the current yield of a 1.5 years zero coupon bond = (100 / 89.9)¹/¹°⁵ - 1 = 0.0736 = 7.36%
the current yield of a 6 months zero coupon bond = (100 / 97.087)¹/⁰°⁵ - 1 = 0.0609 = 6.09%
now to calculate the future interest rate:
(1.0736²/1.0609) - 1 = 0.0865 = 8.65%
since we are told to determine the price of the bond:
(100/P)¹/¹°⁵ - 1 = 0.0865
(100/P)¹/¹°⁵ = 1.0865
100/P = 1.0865¹°⁵
100/P = 1.1325
100/1.1325 = P
P = 88.299
the expected price of the bond = 88.299% x $500,000 = $441,495
Answer:
64,313.74 ; 95,559.38 ; 47,283.11
Explanation:
by definition the present value of an annuity is given by:
where 
is the present value of the annuity, 
is the interest rate for every period payment, n is the number of payments, and P is the regular amount paid. so applying to this particular problem, we have:
1. P=8,200, n=25, i=12%
2. P=8,200, n=25, i=7%
3. P=8,200, n=25, i=17%
Answer:
A. Interest earned on the depositor's account
B. Deposit in transit and Note collected by the bank for the depositor
Explanation:
In Financial accounting, bank reconciliation can be defined as an evaluation which give a complete details of the financial items responsible for any difference between the balance of the cash account in the balance sheet and the cash balance reported in an entity's bank statement. These reconciliations should be done at regular intervals so as to ensure a balanced record of the cash account are kept by an organization or firm.
Adjusted balance ends the bank section of a bank reconciliation. Thus, in the event of any fraudulent behavior by an employee, the bank reconciliation would detect any anomaly or financial fraud in the organization.
In a nutshell, after a reconciliation of the bank statement, the adjusted bank balance should be equal to the company's ending adjusted cash balance on the balance sheet.
The items that would be added to the book balance on a bank reconciliation include the following;
A. Interest earned on the depositor's account.
B. Deposit in transit and Note collected by the bank for the depositor.
Answer:
How much net income (or net loss) did Sunny experience for the year?
Net loss 6000
Explanation:
Cash 142.000
Land 47.000
Revenue 285.000
Salaries 185.000
Rent 81.000
Utilities 25.000
Net loss -6.000
