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const2013 [10]
3 years ago
11

Sheffield Corporation retires its $980000 face value bonds at 104 on January 1, following the payment of annual interest. The ca

rrying value of the bonds at the redemption date is $1016701. The entry to record the redemption will include a debit of $39200 to Premium on Bonds Payable. credit of $2499 to Loss on Bond Redemption. debit of $2499 to Loss on Bond Redemption. credit of $39240 to Premium on Bonds Payable.
Business
1 answer:
RoseWind [281]3 years ago
4 0

Answer:

credit of $36,701 to Discount on Bonds Payable

Explanation:

Dr Bonds payable $980,000

Dr Loss on bond redemption $2,499

[$1,016,701-($980,000 x 104%)

Cr Discount on bonds payable $36,701

($1,019,200-$980,000-$2,499)

Cr Cash $1,019,200

($980,000 x 104%)

The entry to record the redemption will include

a credit of $36,701 to Discount on Bonds Payable

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Financial markets help to efficiently direct the flow of savings and investment in the economy in ways that facilitate the accumulation of capital and the production of goods and services.

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Answer:

See explanation

Explanation:

Red Flash Photography

Journal Entries

1. Debit     Cash                 $29,000

Credit       Common Stock               $29,000

(issuing common stock for cash that will increase the cash)

2. Debit    Cash                               $44,000

   Debit    Accounts Receivable    $39,000

 Credit           Service Revenue                   $83,000

(Provided services on account and cash)

3. Debit    Salaries expense            $32,000

Credit               Cash                                     $32,000

(Paid salaries to workers)

4. Debit    Prepaid Rent                   $21,000

Credit               Cash                                     $21,000

(Paid rent in advance for cash)

5. Debit    Supplies                          $31,000

Credit                  Accounts payable            $31,000

(Purchase supplies on account means liability will increase)

6. Debit    Dividends                        $2,900

Credit                   Cash                                 $2,900

(Paid cash dividends to the shareholders)

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3 years ago
Cedar Designs​ Company, a custom cabinet manufacturing​ company, is setting standard costs for one of its products. The main mat
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Answer:

Standard direct labour cost = $20.00   per hour

Explanation:

The direct labour costs represent expenditures incurred in respect of direct worker which can be traced to the product been produced. For example, the labour cost of machine operator saddled with production task.

The payroll cost is not a direct labour cost because payroll employed are not direct workers, also benefits are overheads related to direct workers

Standard direct labour cost = $20.00

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Assume a company's current ratio and acid-test ratio are less than 1.0 before it purchases inventory on credit. When it makes th
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Answer: b. Its quick ratio decreases.

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The Quick ratio will be less than before because the number of current assets will not change but the amount of current liabilities will change as the goods were purchased on credit. With a larger denominator, the resultant ratio will be less than before.

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Answer:

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Therefore, following the instructions laid out by IAS 40 Jada's basis for depreciation in the property is NIL.

2) Personal property with no intrinsic value:

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Lets first understand what intrinsic value is. Intrinsic value of an asset refers to the market led and/or market-driven price of that asset. This means those assets which don't have an active market for sale and purchase will have no intrinsic value. This is absolutely the case with intangible assets, because most intangible assets are unique and uncommon, such as, GOODWILL, PATENTS, COPYRIGHTS, therefore due to the uniqueness and exclusivity of such assets an active market place doesn't exist therefore it's hard to determine an intrinsic value for such kind of assets/ properties.

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