Answer:
$10,942.20
Explanation:
The computation of the bond interest expense for the six month is shown below:
= Carrying value of the bond × effective interest rate × number of months ÷ total number of months in a year
= $218,844 × 10% × 6 months ÷ 12 months
= $10,942.20
By multiplying the carrying value of the bond with the effective interest rate and the number of months we can get the bond interest expense and the same is to be considered
Answer:
Net decrease in prepaid expenses of $30,000 will be added to the net income in adjustments to net income because it will be considered that working capital (inventory or any other expense) has been generated by the operations.
Net decrease in Accounts payable of $20,000 will be deducted from net income in adjustments to net income because decrease in accounts payable means that cash has been paid to the outstanding payables.
Net effect of the above transactions is $30,000 - $20,000 = $10,000
So, net income will be increased by $10,000 as net effect of the above adjustments.
Answer:
c. decreases the value of its bonds
Explanation:
There is a significant decrease in the value of the bond if the firm declares bankruptcy.
Answer: E. preconventional
Explanation:
According to Kohlberg’s <em>Structural Theory of Moral Development</em>, the Pre-conventional level is a point in moral development where humans (especially babies) are mostly concerned with what external standards think of the actions they engage in so as not to get punished.
The emphasis here is to be avoid punishment as well as to be self-serving which is what Gary is doing at work when he acts in his own best interests and only follows rules to avoid being fired (punished).
