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
elena55 [62]
3 years ago
11

Bramble Corp. is constructing a building. Construction began on January 1 and was completed on December 31. Expenditures were $6

300000 on March 1, $5270000 on June 1, and $8950000 on December 31. Bramble Corp. borrowed $3180000 on January 1 on a 5-year, 12% note to help finance construction of the building. In addition, the company had outstanding all year a 10%, 3-year, $6380000 note payable and an 11%, 4-year, $12550000 note payable. What amount of interest should be charged to expense? $7850132 $1088532 $2010500 $1470132
Business
1 answer:
victus00 [196]3 years ago
3 0

Answer:

$1,470,132

Explanation:

Expenditures:

March 1, $6,300,000

June 1, $5,270,000

December 31, $8,950,000

the weighted average interest rate:

$6,380,000 x 10% = $638,000

$12,550,000 x 11% = $1,380,500

total debt = $18,930,000

total interest = $2,018,500

weighted average interest rate = $2,018,500 / $18,930,000 = 10.663%

weighted average accumulated expenditures:

March 1, $6,300,000 x 10/12 = $5,250,000

June 1, $5,270,000 x 7/12 = $3,074,167

December 31, $8,950,000 x 0/12 = $0

total = $8,324,167

interests on the specific loan = $3,180,000 x 12% = $381,600

interests on remaining expenditures = ($8,324,167 - $3,180,000) x 10.663% = $548,520

total interest capitalized = $930,120

total interest expensed = total interests on other loans - interests capitalized on remaining expenditures = $2,018,500 - $548,520 = $1,469,980 ≈ $1,470,132 which we can match to the nearest option due since during the procedure we rounded a couple of times.

You might be interested in
If the consumption of a good by one individual does not change the amount of the good available to others, the good is considere
Pepsi [2]

Answer:

A. nonrival-in-consumption is the correct answer.

Explanation:

3 0
3 years ago
The Melville Corporation produces a single product called a Pong. Melville has the capacity to produce 60,000 Pongs each year. I
docker41 [41]

Answer:

Financial advantage $159,000

Explanation:

unit variable cost = 15 + 12 + 8 + (25%×8) = $37

Note the selling variable cost is now 25% of the initial cost before the special order because of the 75% savings

The fixed cost were not considered in the analysis because they are not relevant. They would be incurred either way, whether the order is accepted or not

Financial advantage of the special order

                                                                                                 $

Sales revenue from special order = (6,000× $65) =     390,000

Variable cost ( 6000×  $37 )                                  =       (222,000 )

Cost of special machine                                                 <u>( 9,000)</u>

Financial advantage                                                        <u> 159,000</u>

                                         

3 0
3 years ago
you have been hired to conduct a job analysis at a local fast food chain. after completing your analysis, you conclude that the
Katen [24]

As a job analyst, after completing the job analysis, it can be understood that it was a skills-based analysis.

In a skill-based job analysis, the person's skills are measured and put to the test. For example, here, it can be seen that the job requires the employees to have good knowledge of the menu, interpersonal skills, and customer service skills. Conducting an analysis based on these factors will result in an employee who is well-skilled in these fields. As a job analyst, the major area of focus is the skills the employee has for the job.

Learn more about job analysis at

brainly.com/question/15573610?referrer=searchResults

#SPJ4

3 0
1 year ago
Omar, an individual in the 37% tax bracket, wants to shift some of his income to a new corporation in order to take advantage of
Dovator [93]

Answer:

Omar's plan of retaining earnings can work depending on the liquidity preference of the shareholders.

If the shareholders have interest in short-term liquidity benefit (i.e. dividend), then his plans might be frustrated and vice versa.

7 0
3 years ago
Madeline runs a lawn cutting service. She anticipates some increased expenses in her personal life in the next six months, and w
Leya [2.2K]

Answer:

The correct option is A. Need or Deficiency.

Explanation: A need is something that is necessary for an individual to function and live properly, while deficiency can be used to denote a state of lack. Our needs are often the motivating factor behind us working to earn a living, however, different people work for different reasons.

In the scenario presented above, we can see that Madeline is motivated to take on more clients due to the fact that she perceives that her needs will increase.

Therefore, the correct option to this question is that Madeline's motivation is due to need or deficiency.

8 0
3 years ago
Other questions:
  • Assume that the demand for tuna in a small coastal town is given by p = 400,000 q1.5 , where q is the number of pounds of tuna t
    6·1 answer
  • After completing the research process, writers should include their findings by
    5·1 answer
  • Stock A has a beta of 1.2 and a standard deviation of 20%. Stock B has a beta of 0.8 and a standard deviation of 25%. Portfolio
    8·1 answer
  • A sofa is on sale for $187.20, which is 26% of the regular price. what is the regular price?
    15·1 answer
  • C&amp;S Marketing (CSM) recently hired a new marketing director, Jeff Otos, for its downtown Minneapolis office. As part of the
    14·1 answer
  • A major accounting contribution to the managerial decision-making process in evaluating possible courses of action is to a. assi
    10·1 answer
  • A systematic process of assessing opportunities and resources, determining marketing objectives, and developing a marketing stra
    6·1 answer
  • It’s important to note that sometimes private solutions to externalities do not work. For example, this occurs when an excessive
    14·1 answer
  • Which one of the following risks can be progressively eliminated by adding stocks to a portfolio?
    12·1 answer
  • The management of Stanforth Corporation is investigating automating a process. Old equipment, with a current salvage value of $2
    12·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!