Alpha Technology produces two products: a high-end laptop under the label Excellent Laptops and an inexpensive desktop under the
1 answer:
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Answer and Explanation:
As per situation the Journal entries with narrations is here below:-
As per requirement of a
1. Slice Co. investment Dr, $319,500
To Cash $319,500
(Being cash paid is recorded)
2. Slice Co. investment Dr, $27,000
To Income from Slice Co. $27,000
(Being investment is recorded)
3 Cash Dr, $13,500
To Slice Co. investment $13,500
(Being cash is recorded)
As per requirement b
1. Sales Dr, $90,000
To Total Expenses $80,000
To Dividends Declared $5,000
To Retained Earnings $5,000
(Being sales is recorded)
2. Common stock Dr, $160,000
Additional paid-in capital Dr, $40,000
Retained earnings Dr, $155,000
Income from Slice Co. Dr, $27,000
NCI in NI of Slice Co. Dr, $3,000
To Dividends declared $15,000
($1,500 + $13,500)
To Investment in Slice Co. $333,000
($319,500 + $27,000 - $135,00)
To NCI in NA of Slice Co. $37,000
(Being acquisition is recorded)
Answer:
r=20% or 0.2 %
Calculation:
Solving equation:
r = (1/10)((300000/100000) - 1) = 0.2
r = 0.2
Converting r decimal to R a percentage
R = 0.2 * 100 = 20%/year
The interest rate required to get a total amount, principal plus interest, of $300,000.00 from simple interest on a principal of $100,000.00 over 10 years is 20% per year.
