Answer:
10.46%
Explanation:
Data provided in the question
NPER = 4 years
Price of the bond is $956.12
Yield to maturity is 11.43%
Coupon rate = 10%
We assume the face value be $1,000
So the coupon payment is
= Face value × Coupon rate
= $1,000 × 10%
= $100
Now the current yield on this bond is
= Coupon payment ÷ Price of the bond
= $100 ÷ $956.12
= 10.46%
Answer:
It reduces the incentive to work hard and take risks to succeed
Explanation:
The argument against the use of the ability-to-pay principal of taxation is that It reduces the incentive to work hard and make more money and take risks to succeed .
Although Ability to pay principal of taxation believe that a person or an individual tax should depend on what the tax will tend to create to such individual when compared to the wealth of that individual, but many people argue that there should be equity , meaning everybody should pay the same tax rate in such a way that a person or an individual tax rate should not be higher or lesser than another person tax rate.
Answer:
because they have to make sure it is safe for the people to eat (for food)
so that the product's name won't be damaged and is safe to use (for products)
Explanation:
Answer:
d. margin of safety
Explanation:
The margin of safety is the difference between the recorded sales and break-even sales. It is used to indicate the level by which sales can decrease before a project becomes unprofitable. The formula for calculating the margin of safety is actual sales minus break-even point divided by the actual sales.
The margin of safety is also referred to as a safety margin. It can be calculated either in units or dollar value. Managers and investors set the size of the margin of safety, depending on their preference and type of investment.
Answer:
Cost Method
Explanation:
1. When considering whether to account for its investment in Marlon under the equity method, Miller’s management should apply 'Cost Method' because 'equity accounting method' is should only be used when the company has a significant interest in Marlon which is assumed to be 20% of its shareholding.
2. If we assume the use of equity method then.
investment to be reported in its 2018:
A. Income statement
: This will be a single line to show the '<u>share of associate's profit</u>' which is derived by multiplying the percentage ownweship by the investee's profit amount: 16.67%* 12 = $2million
B. Balance sheet
: This will show the carrying value of the investment under long term assets, after fixed assets before current assets. The value will be:
1. The purchase consideration of $19m
(+)
2. The share of associate's profit of $2m
(-)
3. The amount of dividends received of $6m
Therefore the carrying value of the investment in the balance sheet will be $15 million
C. Statement of cash flows: The statement of cashflows will only show the receipt of cash for the dividend of $6million from Marlon, in the 'investing activities' section, as an inflow.
