Answer:
gain = $1,260
Explanation:
given data
face amount = $100,000
Southern Corporation received= $107,720
bond = 12 %
fair value of the bond = $106,460
interest expense = $12,000
solution
we have here separate interest expense that is $12,000,
and here gain from difference in the fair market values of bond
so we get here loss or gain that is that is
loss or gain = Bond price year 1 - bond price year 2 ...................1
put here value
loss or gain = $107,720 - $106,460
gain = $1,260
it is positive so we can say it is gain because bond is a liability and lower price in result of gain
The formula of the future value of an annuity ordinary is
Fv=pmt [((1+r/k)^(kn)-1)÷(r/k)]
Fv future value 800000
PMT monthly payment?
R interest rate 0.05
K compounded monthly 12
T time 20 years
Solve the formula for PMT
PMT=Fv÷[((1+r/k)^(kn)-1)÷(r/k)]
PMT=800,000÷(((1+0.05÷12)^(12
×20)−1)÷(0.05÷12))
PMT=1,946.31 per month
Interest earned
800,000−1,946.31×12months×20 years
=332,885.6
Hope it helps!
If your BAL is at .04, you can expect a 13% drop in complex performance compared to the sober level.
Answer:
b. $248,000
Explanation:
The computation of the cash receipts for October would be
Particulars October
Cash sales $60000
August credit Sales $22000 (10% of $220,000)
September Credit Sales $126000 (70% of $180,000)
October credit Sales $40000 (20% of $200,000)
Budgeted cash receipt $248000
Hence, the correct option is b.
a. resources can be moved where they're needed-------trade
Trade includes the exchange of products or administrations starting with one individual or substance then onto the next, regularly in return for cash. A system that permits exchange is known as a market.
Trade is a fundamental financial idea including the purchasing and offering of products and ventures, with remuneration paid by a purchaser to a dealer, or the trading of merchandise or administrations between parties.
b. workers have an incentive to improve their skills-------competition
Competition is the basic driver of execution and advancement. It benefits everybody by empowering us to browse a variety of fantastic items at reasonable costs. Competition additionally supports the selection of advancement as organizations develop and new thoughts prosper in the commercial center.
Customers remain to pick up the most from more prominent competition in the data innovation (IT) advertise. Reasonable and open competition implies bring down costs and more noteworthy decision.
c. wasted movements are eliminated-------------specialization
Specialization is a strategy for generation whereby a substance centers around the creation of a restricted extent of products to pick up a more prominent level of proficiency. Numerous nations, for instance, represent considerable authority in delivering the products and ventures that are local to their piece of the world, and they exchange for different merchandise and enterprises. This specialization is, subsequently, the premise of worldwide exchange, as couple of nations have enough generation ability to be totally self-maintaining.
