Answer: a. Issuer
Explanation:
When bonds trade at a premium, it means that the yield has fallen below the coupon rate which means that interest rates have dropped. Companies can take advantage of this to reissue new bonds at the lower interest rate so that they can save on costs.
Bonds usually have a call provision which would enable the issuer to call the bond in and pay the holder at the par value plus interest repayments at the lower yield which they will do in this case. They will then reissue new bonds at a lower rate.
A.) raise. it will raise the cost because they have to make a profit
Answer:
Explanation:
First of all we will perpare the T-Accounts for the identification of shares issued and dividend paid during the year as follows :
Share Capital And premium Account
Opening Balance -105000
Closing Balance 164000
Shares Issued 59000
Retained Earnings
Opening Balnce 376750
Net Income During the Year 96100
Closing Balance -455490
Dividend Paid Balancing figure 17360
Now We will Draft the inancing section of the statement of cash flows.
<u>Cash flow from investing Activities</u>
Issuance of shares 59000
Dividend Paid -17360
Net cash from finance activity 41640
Answer:
Using the indirect method, an increase in accrued wages is not an adjustment to net income.
Explanation:
An increase in accounts receivable are subtracted from net income.
A decrease in a prepaid expense are added to net income.
A loss on equipment sold are added to net income.
An increase in accrued wages not consider. (Increase in the wages payable balance are added to net income)
An increase in plant, property and equipment.are subtracted from net income.
Answer:
C. some factors that are not measured or observed may affect the curve.
Explanation:
a lot of unforeseen circumstances might occur. these occurrences would not be measured in the estimated demand curve. this would lead to the estimated demand curve not matching the actual demand curve.
for example, the factors affecting the demand for bread are ; price, income, price of a substitutes. these are included in estimating the demand curve for bread. Assume that a study comes out stating that bread is harmful to the health.this reduces the demand for bread. this study wasn't anticipated and included in estimating the demand curve. as a result, the actual data would differ from the estimated data
