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yan [13]
2 years ago
6

David purchased a $5,000 bond on the secondary market. He paid a $500 premium. What is David's basis?

Business
1 answer:
Pavel [41]2 years ago
5 0

Answer:

David's basis on the $5,000 bond purchased is:

C. $5,000.

Explanation:

a) Data and Analysis:

Cost of Investment in bond = $5,000

Premium paid = $500

b) David's basis on the bond is the quoted price of the bond, which is a security investment.  It is on this basis price that future interest will be calculated.  The additional $500 as premium he paid is just an additional cost which he incurred in exchange for his interest in the bond.  It does not form part of the basis.

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Anne has chosen how many bagels and how many units of cream cheese she would buy this month. She has $20 to spend on these two g
Colt1911 [192]

Answer:

The correct answer is:  her marginal benefit per dollar for bagels will decrease, and her marginal benefit per dollar for cream  cheese will increase.

Explanation:

Anne has $20 to spend on two goods bagels and cream cheese.

The marginal benefit per dollar for bagels is $6.

The marginal benefit per dollar for cream cheese is $10.

If she decides to buy more bagels and less cream cheese, the marginal benefit per dollar for bagels will decrease and marginal benefit per dollar for cream cheese will increase.

The marginal benefit per dollar for a commodity is the ratio of marginal utility derived from consuming the last unit of the commodity upon price of the commodity.

As more and more quantity of a commodity is consumed the marginal benefit per dollar for it will go on declining. This is because the marginal utility derived from each additional unit will go on declining while price will remain the same. The less the commodity is consumed, the marginal benefit per dollar for it will increase.

5 0
3 years ago
Using the information below for Sundar Company; determine the total manufacturing costs added during the current year:
defon

Answer: $96,500

Explanation:

Manufacturing cost includes all the costs that went into production in a period including direct costs and manufacturing overhead:

= Direct materials + Direct labor + Manufacturing Overhead

Manufacturing overhead = Beginning work in process + Factory overhead - Ending work in process

= 11,200 + 52,600 - 11,800

= $52,000

Manufacturing cost = 19,500 + 25,000 + 52,000

= $96,500

3 0
2 years ago
Kassandra Young is a business manager at Weith Productions. Although she does not have a background in technology, her job requi
Vadim26 [7]

Answer:

D. Dashboard

Explanation:

Dashboard: It is a tool that allows the user to have a glance of multiple information in one platform, it helps to take insight and do performance analysis with the required key performance indicator. It is very powerful tool used in corporate management as it summarizes the complex data into easier and relevant information as required for a particular department or business. It makes a manager´s job easier and effective decision making.

6 0
2 years ago
Freytag Corporation's variable overhead is applied on the basis of direct labor-hours. The company has established the following
Serjik [45]

Answer:

a. -$783 Unfavorable

b. 550 Favorable

Explanation:

a. The computation of Variable Overhead Rate Variance is shown below:-

Variable Overhead Rate Variance = Actual hours × (Standard Variable Overhead rate per hour - Actual Variable Overhead rate per hour)

= 8,700 × ($4.10 - ($36,540 ÷ 8,700)

=  8,700 × ($4.10 - $4.19)

= 8,700 × -$0.09

= -$783 Unfavorable

b. The computation of Variable Overhead Efficiency Variance is shown below:-

Variable Overhead Efficiency Variance = Standard Variable Overhead Rate per Hour ×  (Standard Hours for Actual Production - Actual Hours)

= 5.5 × ((5.5 × 1,600) - 8,700)

= 5.5 × (8,800 - 8,700)

= 5.5 × 100

= 550 Favorable

5 0
2 years ago
The sec generally defers to the fasb concerning controversial disclosure and reporting issues.
xxMikexx [17]

This assertion is true. In addition, the SEC has the remaining accountability to make certain that the FASB deals with troubles referred to it by the SEC.

The cooperative effort between the public and personal sectors has given the United States the first-rate economic reporting gadget in the world, and the Commission is intent on making it even better.

<h3 /><h3>Who does the SEC document to?</h3>

19 The SEC is guilty to Congress as it operates beneath the authority of federal legal guidelines inclusive of the Securities Act of 1933, the Securities Exchange Act of 1934, the Investment Company Act of 1940, the Investment Advisers Act of 1940, and the Sarbanes-Oxley Act of 2002 (Sarbanes-Oxley Act), amongst others.

Learn more about SEC here:

<h3>brainly.com/question/3798508</h3><h3 /><h3>#SPJ4</h3>

6 0
1 year ago
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