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Luba_88 [7]
3 years ago
8

Dyckman Dealers has an investment in Thomas Corporation bonds that Dyckman accounts for as a trading security. Thomas Corporatio

n's bonds are publicly traded and the prevailing market price indicates that Dyckman's investment is worth 20,000. However, Dyckman management believes that the bond market is generally overvalued, and their analysis of the Thomas investment suggests to them that it is worth $18,000. Dyckman should carry the Thomas investment on its balance sheet at:_____.
A) $20,000.
B) $18,000.
C) Either $18,000 or $20,000, as either are defensible valuations.
D) $19,000, the midpoint of Dyckman's range of reasonably likely valuations of Thomas.
Business
1 answer:
faust18 [17]3 years ago
3 0

Answer: $20,000

Explanation:

Bonds are to be carried in the books at their fair value which is their market value. That value is $20,000 in this instance and so Dyckman Dealers will have to record the bonds at that $20,000 value.

Investment analysis are not a basis for recording bond prices. They are simply a basis for making investment decisions. For instance, because they believe that the bond is overvalued, they can benefit from this by short selling the bond and waiting for it to drop in price.

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Answer:

The answer to this question is B. Niche marketing

Explanation:

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A niche market cater for  the unique demands that aren't being addressed by mainstream providers.  Organisations  pursue niche markets as a way to build loyalty and revenue with a largely-overlooked audience.

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4 0
3 years ago
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Using MACRS rates for a three-, five-, seven-, and ten-year property, what is the percentage for the depreciable rate?
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The answer is a
See the attachment for more details

5 0
3 years ago
when machines are programmed to do multiple tasks in order to produce a variety of products, a firm is said to be employing?
leonid [27]

Answer:

- flexible

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Explanation:

7 0
2 years ago
Mary makes 10 pies and 20 cakes a day and her opportunity cost of producing a cake is 2 pies. Tim makes 20 pies and 10 cakes a d
monitta

Answer:

If Mary and Tim specialize in the good in which they have a comparative​ advantage, ______.

Mary would specialize in making cakes while Tim would specialize in making pies.

Explanation:

a) Data and Calculations:

Mary's opportunity cost of making a cake = 2 pies

She can make additional 5 (10/2) cakes instead of making pies

This will increase her cakes to 25 a day (20 + 5)

Tim's opportunity cost of making a cake = 4 pies

She can make additional 40 pies (10 * 4) instead of making cakes

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When they specialize there will be 25 cakes and 60 pies produced in a day instead of 30 cakes and 30 pies.

5 0
3 years ago
Rusty sells his home for $330,000. He must pay a 6% brokerage fee which will be split evenly between the selling broker and list
Solnce55 [7]

Answer:

=$ 80, 200.00

Explanation:

selling price : $ 330,000.00

Commission 6 %:

Commissions paid = 6/100 x $ 330,000.00

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Rusty Expects: $ 330,000.00- $ 249,800.00

   =$ 80, 200.00

8 0
2 years ago
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