1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
mina [271]
3 years ago
13

A company issues 9% bonds with a par value of $110,000 at par on January 1. The market rate on the date of issuance was 8%. The

bonds pay interest semiannually on January 1 and July 1. The cash paid on July 1 to the bond holder(s) is:
Business
1 answer:
solmaris [256]3 years ago
7 0

Answer: $4950

Explanation:

From the question, we are informed that a company issues 9% bonds with a par value of $110,000 at par on January 1 and that the market rate on the date of issuance was 8% and also that the bonds pay interest semiannually on January 1 and July 1.

There is no discount on the bonds payable because they are issues at par. Therefore, the cash paid on July 1 to the bond holders will be:

= $110,000 x 9% x 6/12

= $110,000 x 9/100 x 6/12

= $110,000 x 0.09 x 0.5

= $4,950

You might be interested in
The direct materials and direct labor budgets provide information for preparing the
iragen [17]

Answer:

The cash budget is the appropriate answer

Explanation:

When the budgeted direct materials as well as the required  budgeted labor hours are ascertained, the step needs to be taken further in order to know how the costs budgeted fit into overall cash situation of the business.

The suppliers of direct materials would have given the company the maximum number of days that expect cash , in order to meet up with such deadline the company must plan ahead by incorporating the values of such purchases into cash flow projections, the same also applies to cost of direct labor.

7 0
3 years ago
Read 2 more answers
Why are job referrals valuable to both job seekers and employers?​
Leto [7]
A successful referral makes an employee feel better about the company they work for
5 0
3 years ago
In terms of GNI PPP, excluding Singapore, the wealthiest nations of Southeast Asia are
shutvik [7]
<span>The wealthiest nations of Southeast Asia, excluding Singapore (which is one of the wealthiest countries in the world) are Thailand and Malaysia, with Malaysia being in the 130th position according to GNI (Gross national Income) and Thailand in the 120th position (the higher the number the bigger the GNI). After this it's Indonesia in the 72nd place. </span>
7 0
3 years ago
Wild company purchased an asset. Wild used the Modified Accelerated Cost Recovery System (MACRS) to depreciate the asset for tax
Lady_Fox [76]

Answer:

The correct answer is A.

All other things being equal, in the early years of the asset's life, the amount of income shown <u>on the tax return will be higher than  the amount of income shown on the income state.</u>

Here's why    

       

Explanation:

In the United States, the Modified Accelerated Cost Recovery System (MACRS) is a depreciation system used for tax purposes.

It allows the capitalized cost of an asset to be recovered over a specified period via annual deductions. The MACRS system puts fixed assets into classes that have set depreciation periods.

This depreciation system allows an asset to be depreciated faster in the first years of an asset's life and slows depreciation later on. This is beneficial to businesses from a tax perspective.

This is logical, the less the value of an assets, the less the property tax applicable to it and so the company increases it's bottom line in tax savings whiles maximizing the useful life of the asset.

Cheers!

4 0
3 years ago
This type of data display are excellent ways to organize and categorize data and can be useful to examine the detail of a specif
galben [10]

Answer:

C : Tables

Explanation:

Tables represent the simplest way to organize data to display details of specific contents. In tables data is represented in rows and columns. Rows represent each data or data category. Columns are used for displaying features of each data, like sex, age, income level, etc.

8 0
3 years ago
Other questions:
  • Whats the process of Observing someone actually working in a career that interest you?
    5·1 answer
  • What is the first step in financial planning?
    5·2 answers
  • A clean air standard requires that vehicle exhaust emissions not exceed specified limits for various pollutants. many states req
    7·2 answers
  • Generally, when business startup costs exceed the maximum amount allowed, the remaining costs may be amortized over_____ months.
    9·1 answer
  • 1. The roles of money Antonio just graduated from college and is now in the market for a new car. He has saved up $4,000 for a d
    10·1 answer
  • The Ethical Dissonance Model helps to evaluate: a. Whether the organization sets an ethical tone at the top b. Whether the organ
    15·1 answer
  • A bank has on-balance-sheet assets with a book value of $940 million and a market value of $985 million and on-balance-sheet lia
    11·1 answer
  • A middleman is a person who
    7·1 answer
  • James Perkins wants to have a million dollars at retirement, which is 15 years away. He already has $200,000 in an IRA earning 8
    5·1 answer
  • in the cost approach to valuation, land value can be estimated by comparing sales of vacant land that are similar to the subject
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!