Answer:
The amortization of discount on bonds payable increases the interest expense and decreases the bonds payable balance. Discount on bonds payable is a contra liability account with a debit balance that decreases the credit balance of the bonds payable account.
Explanation:
E.g. $100,000 in bonds are issued, annual coupons with a 4% interest rate, matures in 5 years and sells for $90,000
the journal entry to record the issuance
Dr Cash 90,000
Dr Discount on bonds payable 10,000
Cr Bonds payable 100,000
The journal entry to record first coupon payment using straight line method of amortization
Dr Interest expense 6,000
Cr Cash 4,000
Cr Discount on bonds payable 2,000
The bonds payable account balance after the first coupon payment = $92,000
A
B stress is an important factor because it determines wether or not you do the right thing
C if your right there in the drive through you can’t take too long
D time again you can’t take like 40-1 if your in a [insert food chain drive through]
Answer:
True
Explanation:
The reason is that the Internation Financial Reporting Framework says that though there are choices the company must opt to the depreciation method that brings fairness to the financial statement, which means that the method used calculates the depreciation for the year that actually represents the decrease in the value of the assets in market value. So if the current method brings the fairness to the Financial statements, Lucky can use them and if those don't bring fairness to the financial statements then its better to use alternative which will bring the fairness to financial statements.
Answer:
The correct answer is letter "C": Appreciated property can be distributed tax-free to an owner.
Explanation:
A Limited Liability Company (<em>LLC</em>) is a type of organization where the owners are not personally liable for the company's responsibilities. On the other hand, an S Corporation is constituted for 100 shareholders or less who are jointly liable for the business' responsibilities.
An advantage of an LLC over an S Corporation could lay on the fact that the LLC can distribute appreciated property to its shareholders tax-free just like if an asset would have been sold.