Answer:
Dr. Cr.
January 1, 2019
Cash $1,000,000
Note Payable $1,000,000
Explanation:
Bond issued for $1,000,000 and cash received against it. So, cash id debited and a liability is created in this event. Interest accrued will be charged as interest expense at the end of period.
Answer:
b. Shop around for the depository institution with the highest interest rates for their savings accounts. She would be able to make regular savings deposits and earn interest while she is saving up for the computer.
Explanation:
Firstly, depository institutions are instiutions that are legally allowed to accept monetary deposits from customer. Examples savings bank, loan banks e.t.c
However, Ariel is better off depositing her money in a financial institution that will yield high interest for her and enable better save to purchase her dream computer.
Answer:
A) $14,000.
Explanation:
In the profit or loss statement, the key elements are sales and expenses and the net of these two gives the net income.
Given
Service Revenue = $40,000,
Wages Expense = $25,000
Net Income = $1,000
Total expense = $40,000 - $1,000 = $39,000
The total expense is made of the wage expense and other expenses.
Therefore, other expenses = $39,000 - $25,000
= $14,000
Answer:
E. If the market risk premium increases by 1%, then the required return will increase by 1% for a stock that has a beta of 1.0.
