Answer:
The present Value of Annual Gain for two years made from unwrapping the original swap agreement is $20.00
Explanation:
From the given information;
The annual gain from swap agreements = $61.50 - $51.25
The annual gain from swap agreements = $10.25
Annual rate for the first year = 1% = 0.01
Annual rate for the second year = 2% = 0.02
However the present gain for the first year will be;
= 10.14851485
The present gain for the second year will be;
= 9.851980008
The present Value of Annual Gain for two years is:
= 10.14851485 + 9.851980008
= 20.00049486
≅ $ 20.00
The present Value of Annual Gain for two years is $20.00
<u>Explanation:</u>
<em>Remember,</em> the GDP (Gross Domestic Product) is an economic term that refers to the total value of goods and services produced in an economy in a particular period, usually in a period of one year.
Note, the standard way of counting GDP tries to avoid double counting by noting only the final value of goods or services.
Hence, the flour bought by the consumer (the final user) is measured by the producer as output or goods produced, whereas If a bakery buys flour as an input to bake things in order to sell, the flour is not counted as part of GDP because it is not the final value of the goods as value is still going to be transferred to whatever output from the bakery (eg bread, cakes).
The answer to this question is Convertible Term Insurance.
Convertible Term Insurance is a type of insurance where in the policy holder
can change a term policy for a whole policy without doing the medical
examination that is required to new application of plans. Term insurances is an
insurance that has a limited coverage period but it can be renewed and can be
convertible to permanent life insurance when the plan is already matured.
Answer:
$205,150 is the total of the both sides of the adjusted trial balance.
Worksheet with proper working has been attached.
Explanation:
<u>Transaction a:
</u>
Debit: Supplies expense $4,850
Credit: Supplies $4,850
<u>Transaction b:
</u>
Debit: Insurance expense $1,625
Credit: Prepaid insurance $1,625
Tip: Insurance that is expired is removed from prepaid insurance and debited to the insurance expense.
<u>Transaction c</u>
Debit: depreciation expense $1,400
Credit: accumulated depreciation $1,400