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LenaWriter [7]
3 years ago
9

On January 10, Chen Co. issued an $80,000, 6%, 90-day note payable to Rao Co. Using a 360-day year, what is the total interest e

xpense of the note?a. $4,800b. $480c. None of these choices are correct.d. $1,200
Business
1 answer:
Yanka [14]3 years ago
4 0

Answer:

d. $1,200

Explanation:

The computation of the interest expense is shown below:

= Principal × rate of interest × number of days ÷ (total number of days in a year)

= $80,000× 6% × (90 days ÷ 360 days)

= $1,200

We simply apply the simple interest formula

Since the number of days and the total number of days are given so we considered the same for the computation part.

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Company's Z's earnings and dividends per share are expected to grow indefinitely by 4% a year. Assume next year's dividend per s
Kazeer [188]

Answer:

Explanation:

First, we need to find current stock price, which equals to Next year dividend / (required rate of return - growth rate)

=4 / (0.08 - 0.04)

= $4 / 0.04 = $100

Then we can apply the found current stock price to find present value of growth opportunities

Present value of growth opportunities =current stock price - [forcasted Earning per share / required rate of return]

= $100 - ($4 / 0.08)

=$100 - $50

= $50

6 0
3 years ago
Name three rules for creating an effective presentation to summarize a pi team's activities
anyanavicka [17]
In order to <span>create an effective presentation to summarize a PI team's activities PI team members should u</span><span>se large fonts in the presentation so that people can read the boards from a distance.
Also they should map the board in advance with labels for each section. 
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6 0
3 years ago
Gaw Company owns 15% of the common stock of Trace Corporation and used the fair-value method to account for this investment. Tra
Marizza181 [45]

Answer:

It is $9,000 (B)

Explanation:

Total paid dividends paid = $60,000

Return on Investment = $60,000 *15%

                                    =$9,000.

Gaw Company investment in Trace Corporation will be treated as Investment Assets. In its book ,it can only recognize its share of dividend paid as return on investment.

Gaw Company cannot recognize its share of entire net income of Trace because it doesn't have controlling interest (i.e subsidiary) in the company neither does it have significant influence (i.e associate).

3 0
3 years ago
When calculating tax revenue calculate the area between the total price paid by blank and the net price received by blank from z
MrRissso [65]

Answer:

consumers; suppliers

Explanation:

Tax revenue is defined as the revenues collected from taxes on various different types of incomes. When calculating tax revenue calculate the area between the total price paid by consumers and the net price received by suppliers from zero to the quantity traded. This will provide the final tax revenue for the company.

8 0
3 years ago
One probable reason that the Constitution's framers included very strong wording protecting private property and contracts was _
kykrilka [37]

Answer: ...they were invested and had to protect their own wealth.

Explanation:

The constitution's framers of America were founding fathers and visionaries. They designed the America's constitution to endure times and to stand the pressures of being a new country. They also aimed at addressing not only the specific challenges facing the nation during their lifetimes, but they also tried to establish the foundational principles that would lead and guide the young nation into an uncertain future of our days.

7 0
3 years ago
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