Answer:
$5,776
Explanation:
the journal entry to record the issuance of the bonds:
January 1, 202x
Dr Cash 73,720
Dr Discount on bonds payable 2,280
Cr Bonds payable 76,000
coupon = $76,000 x 7% x 1/2 = $2,660
discount on bonds payable per coupon = $2,280 / 10 = $228
Journal entry to record coupon payment:
June 30 and December 31, 202x
Dr Interest expense 2,888 x 2 = 5,776
Cr Cash 2,660 x 2 = 5,320
Cr Discount on bonds payable 228 x 2 = 456
Answer:
The correct answer is option a.
Explanation:
An increase in the price of inputs of production will cause an increase in the cost of production. The firm will now be able to produce less at the same cost.
As a result, the supply of the commodity will decline. this causes the supply curve to shift to the left further causing an increase in the price of the product.
Answer:
paradigm shift
Explanation:
Based on the information provided within the question it can be said that this is an example of a paradigm shift. This term refers to a fundamental change within an a company's or entity's set of discipline or norms of it's basic concepts. Which in this scenario adding same day home delivery drastically changes the basic concept of an in person organic food grocery store as people are able to order online and never have to set foot into the store. Which may even lead the store to close their brick and mortar store and function strictly online.
It is not possible to tell what happened to the CPI because other than for housing , we do not know what happened to the prices of any of the other goods.
Answer:
The higher discount rate lower the banks incentive to borrow from the Fed, lowering the quantity of reserves, and causing the money supply to fall.
This is because a higher discount rate makes borrowing from the Fed more expensive. Some of the money that would have been borrowed from the fed becomes bank reserves, and some other becomes loanable funds that increase the money supply. As a result, if banks borrow less from the fed, the money supply falls (or grow less).
The Fed Funds rate is the rate that banks charge one another for short-term overnight loans.
This occurs when banks are stripped of cash, and rely on other banks to meet their cash requirements for the day.
When the Fed buys government bonds, the reserves in the banking system increases, the banks demand for the reserves decreases, and the federal funds rate falls.
When the Fed buys government bonds, it is essentially creating money. This money enters the banking system in the form of reserves, of which some are loaned out, creating even money. Demand for the borrowed reserves falls because banks now need less of it, and as a result, their price: the federal funds rate, also falls.
Explanation:
