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frosja888 [35]
2 years ago
10

Taylor Company neglected to amortize the discount on outstanding ten-year bonds payable. What is the effect of the failure to re

cord discount amortization on interest expense and bond carrying value, respectively
Business
1 answer:
damaskus [11]2 years ago
4 0

Answer:

Taylor Company

The negligence to amortize the discount on outstanding ten-year bonds payable is the understatement of interest expense for each year.  This means that the interest expense will be the same for each year instead of increasing by the amortized discount amount.  The same applies to the bond carrying value, which will remain the same throughout the period.

Explanation:

The discount on bonds payable is an additional interest expense, which is written off yearly over the bonds' maturity period through amortization.  It increases the amount of the periodic interest payment by the amortized discount.

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Career Services, Incorporated sold some office equipment for $52,000 on December 31, 2021. The journal entry to record the sale
Papessa [141]

Answer:

Date of selling machine is 31 Dec 2021, then gain of $47,000

If date of selling this machine is 31 Dec 2012 (used tenor: 4 years), then gain of 2,000

Explanation:

Depreciation per year = (original cost $80,000  - residual value $5,000)/ useful life of 10 years

= $7,500 per year

Date of purchase: January 1, 2009

Date of sold:  December 31, 2021

⇒ Actual life of this machine = 13 years, but the maximum depreciation as accounting rule is for 10 year only

After 13 years, the book value = original cost - depreciation booked

= $80,000 - $7,500*10 = $5,000

Gain/ Loss =  sold price - boo value = $52,000 - $5,000 = $47,000

If date of selling this machine is 31 Dec 2012 (used tenor: 4 years), then we have:

Gain/ Loss = sold price - book value

= $52,000 - ($80,000 - $7,500*4) = 2,000

4 0
3 years ago
If the price elasticity of supply is 0.5 and the quantity supplied decreases by 6%, then the price must have decreased by 3%. a.
PolarNik [594]

Answer: False

Explanation:

The price elasticity of supply measures the change in quantity supplied when the price changes.

The basic trend is that when price increases, quantity supplied increases as well. The reverse is true.

Price elasticity of supply = %Change in quantity supplied / % change in price

0.5 = -6% / Change in price

0.5 * Change in price = -6%

Change in price = -6% / 0.5

= -12%

The statement above is therefore false because price should have reduced by 12% for quantity supplied to reduce by 6%

3 0
2 years ago
Russell was determined to make a big change in the thought process behind police officer roles in communities. What were some of
harkovskaia [24]

Explanation:

Area = Area of sides + area of semicircle thing

= (2*0.21*0.31) + (2*0.31*0.61) + (0.21*0.61) + ( 3.14*0.105*0.61) + (3.14*0.105*0.105) = 0.872 m^2

Total area = 0.872 *1106 =964.43 m^2

Answer =965 m^2

8 0
3 years ago
There are three rooms. The first one is filled with very important papers. The second one is filled with money. The third one is
Kryger [21]
All of them at the same time? This is hard.... 0.0
8 0
3 years ago
Read 2 more answers
ExxonMobil uses a(n) _____ appeal when it explains technical aspects of its products, such as lithium ion batteries, hydrogen te
solniwko [45]

Answer:

D. Informational

Explanation:

Informational appeal is a form of advertisement in which a producer or marketer explain his/her products to viewers and target customers. It gives a brief highlight to the benefit a consumer will get from using the specifit product. It elucidates and shines more lights on a products attributes, benefits and characteristics. When ExxonMobil explains areas on lithium ion batteries, hydrogen technology, biofuels, and CO2 capture technologies, they are using information appeal.

7 0
3 years ago
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