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
Darya [45]
3 years ago
9

Tan Corporation issued $600,000,000 of 7% bonds on November 1, 2015, for $644,636,000. The bonds were dated November 1, 2015, an

d mature in 10 years, with interest payable each May 1 and November 1. The effective-interest rate is 6%. Prepare Tan’s December 31, 2015, adjusting entry. Use effective rate method of amortization
Business
1 answer:
jonny [76]3 years ago
7 0

Answer:

Interest Expense $6,446,360

Interest Payable $7,000,000

Explanation:

Interest Expense for the year =

Issued amount * Effective interest rate * \frac{Remaining months in the year}{Total months in the year}

$644,636,000 * 0.06 * 2/12 = $6,446,360

Interest Payable =

Face Value of the bond * Interest rate * \frac{Remaining months in the year}{Total months in the year}

$600,000,000 * 0.07 * 2/12 = 7,000,000

You might be interested in
Going 'long' (including more periods) on a moving average forecast is usually most appropriate when: 1. Significant fluctuations
Nata [24]
2. Significant fluctuations in the market would actually be corrected
4 0
3 years ago
​psychologists usually attempt to determine whether or not data supports a hypothesis through the use of ____.
guajiro [1.7K]
Psychologists usually attempt to determine whether or not data supports a hypothesis through the use of statistics which means gathering/collecting all data facts and important information.
6 0
3 years ago
Artists often use ____________ to create small and intimate works because the paints are easy to carry and only require a glass
Mazyrski [523]
Artists often use WATERCOLORS to create small and intimate works because the paints are easy to carry and only requires a glass of water. Watercolor is made up of pigment in a vehicle of water and gum Arabic, which is a sticky plant substance that acts as the binder. The most common support for watercolor is paper. Watercolors could readily be taken on outdoor sketching expeditions and are particularly preferred by amateur artists.<span />
4 0
3 years ago
The amounts of money you can make on a college savings plan investment is dependent on
Oliga [24]

That would be the market performance of an investment.

4 0
3 years ago
Which of the following statements is CORRECT?
Leya [2.2K]

Answer: C. The beta coefficient of a stock is normally found by regressing past returns on a stock against past market returns. One could also construct a scatter diagram of returns on the stock versus those on the market, estimate the slope of the line of best fit, and use it as beta. However, this historical beta may differ from the beta that exists in the future.

Explanation:

The beta coefficient is used by an economic entity to measure how volatile an individual stock is when such stock is being compared to the market's systematic risk.

Of the options given in the question, the correct answer is option C which states that "C. The beta coefficient of a stock is normally found by regressing past returns on a stock against past market returns. One could also construct a scatter diagram of returns on the stock versus those on the market, estimate the slope of the line of best fit, and use it as beta. However, this historical beta may differ from the beta that exists in the future"

8 0
3 years ago
Other questions:
  • Tatum Company has four products in its inventory. Information about the December 31, 2021, inventory is as follows: Product Tota
    7·1 answer
  • "Diversity on attributes such as cultural background, race, and attitudes is associated with communication problems and ultimate
    11·1 answer
  • An organization that has a relatively diverse employee population and makes an effort to involve employees from different gender
    11·1 answer
  • What is animation?
    9·1 answer
  • Seller Deangelo agreed to mediate the radon gas problem in his basement within 31 days. It has been 31 days and he still has not
    6·1 answer
  • Lake House. Harry has two houses, a house on the lake and a house in town. Rebecca wants to buy the house on the lake. Harry and
    14·1 answer
  • Can someone help me with question 12?
    5·1 answer
  • Ryan is trying to dispel the myth that the role of salespeople is to "sell refrigerators to Eskimos." He tells his salespeople t
    6·1 answer
  • An alternative form of the accounting equation is:_______.
    14·1 answer
  • You purchase a call option on pounds for a premium of $.03 per unit, with an exercise price of $1.64; the option will not be exe
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!