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2 years ago

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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The following data were collected during a study of consumer buying patterns:

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Dude what is this even for i have never seen this in my life wow i wish the best of luck to you because that is a doozie.

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3 years ago

On November 1, 2021, Sandhill Co. places a new asset into service. The cost of the asset is $84000 with an estimated 10-year lif

Aneli [31]

Answer:

$7,200

Explanation:

According to the scenario, computation of the given data are as follows,

Total cost = $84,000

Salvage value = $12,000

Estimated life = 10 years

So, we can calculate depreciation expense by using following formula,

Depreciation yearly = (Total cost - Salvage value) ÷ Estimated life

= ($84,000 - $12,000) ÷ 10

= $72,000 ÷ 10

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2 years ago

Which of the following is likely to require the most education?

ladessa [460]

Answer:

A. Hand packer

Explanation:

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Additionally, a certification can be defined as a recognition given for completing a course of study or passing an examination. This is to certify that the individual is a professional in that course of study. Some examples are CCNA, Comptia A+, HSE I and II.

A hand packer refers to an individual (employee) who is saddled with the responsibility of packing and/or packaging varieties of finished goods (products) in an assembly line.

Basically, hand pickers are employed to pick and package finished goods into their respective containers so as to get them ready for distribution to the consumers.

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3 years ago

Read 2 more answers

Explain the teams and conflict in organization

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<h2>arise when there are disagreements over their goals, methods or needs of the team. </h2>

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<h2>hope it helps</h2>

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2 years ago

A local county is considering purchasing some dump trucks for the trash pickups. Each truck will cost $55,000 and have an operat

lianna [129]

Answer:

35,972

Explanation:

The equivalent annual cost can be calculated dividing NPV by the annuity factor

In order to find NPV first

Year1 Year2 Year3 Year4 Year5 Total

Operating and

Maintenance 18000 21000 24000 27000 30000 -

Discount factor(10%) 0.909 0.826 0.751 0.683 0.620 -

Discounted CFs 16362 17346 18024 18411 18600 88,713

Salvage 12000

Discount factor(10%) 0.620

Discounted salvage 7440 (7440)

Inital Cost (55,000) (55,000)

NPV 136,333

Calculation for EAC

NPV = 136,333

Annuity factor for 5 years = 3.790

Equivalent annual cost = NPV /Annuity factor

Equivalent annual cost = 136,333/3.790

Equivalent annual cost = 35,972

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3 years ago