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Svetradugi [14.3K]
2 years ago
10

On January 1, $500,000 of 8%, 10-year bonds were sold for $530,000. The bonds require semiannual interest payments on June 30 an

d December 31. What's the correct entry for recording the June 30 interest payment on the bonds?
Business
1 answer:
masha68 [24]2 years ago
7 0

Answer and Explanation:

The journal entry is given below:

<u>Date       Accounting & Explanation       Debit ($)      Credit ($)</u>

30th June     Expenses account interest   18,500

                     Amortization of the bonus

                       premium due will be:

                                    (\frac{30000}{20} )                         1,500

                            Accounts cash:

                     (500000\times 8 \ percent\times \frac{6}{12})                            20,000

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Answer:

Conclusions and Recommendations

1. When drawing conclusions, make sure to:

use consistent evaluation criteria

2. What to remember about the reader before preparing recommendations:

A. Readers prefer specific, practical recommendations.

3. This is the finding.

4. This is the conclusion.

5. This is the recommendation.

Explanation:

Findings in a report are the discoveries made about the subject.  Conclusions are evidence-based summaries of the findings.  They are the results of the research effort.  Convincing conclusions always relate to the initial report problems.  Recommendations are action points that should be followed to resolve the prevailing problems.

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2 years ago
The management of Milque Corp. is considering the effects of various inventory-costing methods on its financial statements and i
nignag [31]

Answer:

Milque Corp.

FIFO will provide the highest net income when the price of inventory is increasing.

Explanation:

The Generally Accepted Accounting Principles recognize four main methods to compute Cost of Goods Sold and Ending Inventory for a period.  They are:

First In, First Out (FIFO): This is based on the assumption that companies sell first the inventory that they bought first.

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3 years ago
Suppose the economy is operating at an output of $4,000 billion. Assume furthermore that potential output is $5,000 billion and
motikmotik

Answer:

The correct answer is $250 billion.

Explanation:

An economy is operating at an output level of $4,000 billion.  

The potential output level is $5,000 billion.  

The marginal propensity to consume is 0.75.  

The recessionary gap is

= $5,000 billion - $4,000 billion

= $1,000 billion

ΔY = \frac{1}{1-MPC}\times \Delta G

$1,000 = \frac{1}{1-0.75}\times \Delta G

$1,000 = \frac{1}{0.25}\times \Delta G

$1,000 = 4 \times \Delta G

ΔG = \frac{1,000}{4}

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3 years ago
Scenario 1: Individual Retirement Accounts (IRAs) allow people to shelter some of their income from taxation. Suppose the maximu
ELEN [110]

Answer:

<em>The question is incomplete, complete question is as follows:</em>

Individual Retirement Accounts (IRAs) allow people to shelter some of their income from taxation. Suppose the maximum annual contribution to such accounts is $5,000 per person. Now suppose there is a decrease in the maximum contribution, from $5,000 to $3,000 per year.

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Answer/Explanation:

In the statement given the problem is specified as the discouragement for med students to take lower paying but needed jobs because of the high student debt. This issue has been analyzed from several sectors of society and even by professionals in other areas that experience similar situations.

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