Answer:
Annual Interest = $80
Interest rate = 8.89%
Explanation:
The investor pays discounted price for this bond.
We know, Annual Interest = Coupon payment/Market value
Given,
Coupon payment = Principal value*Coupon rate
Coupon payment = $1,000*8% = $80
Market value = Price pays for the bond = $900
Therefore, the annual interest rate = $80/$900
Annual Interest rate = 8.89%
Note that, coupon payment is the annual interest rate.
Answer:
<em>Product-Specific Research</em>
Explanation:
Product research <em>is an essential part of the development of new products. Analysis will help you determine important issues at every stage of the process and avoid costly errors.</em>
Testing a prototype will help you to reject uncompromising concepts, allowing you to focus money and time commitment on goods with the best chance of commercial success.
Product-Specific Research includes finding key product features that are selling points. Sells the benefit that the product provides.
<span>Teamwork is a must necessary for any kind of business setup to grow. Salespeople have to build internal partnerships through teamwork by understanding the other team members and clarifying expectations. Fulfilling the commitments and focusing on little things too also help in achieving the goals. They must attend to the little things if they want to succeed.</span>
Answer:
a. Price ceiling
b. see graph
c. Increases
d. Increases, decreases
Explanation:
a. Price ceiling is the maximum price or ceiling so to speak imposed by government for a particular commodity inorder to relieve purchase burden from the consumers.
b. Take note of the price ceiling in the graph attached.
c. Number of demanded check-ups increases, since they are now more affordable.
d. Consumer surplus increase by $10, while the producer surplus decrease by $10 ($50-$40).
Answer:
2014 = zero
2015 = $6,450
Explanation:
2014
Under the completed-contract method of accounting, revenue, expenses, and gross profit is deferred until the completion of the contract. If at the end of the business fiscal year of a company work on a contract remains incomplete, no revenue, expenses, and profit on that contract is recognized in the current year on the income statement; all costs and billings are accumulated in respective balance sheet accounts.
2015
This year, the construction is completed so Horner Construction Co. will now recognize its Revenue and gross profit in relation to the project.
Contract price $16,500,000
Less: constructions costs <u>10,050,000</u>
Gross profit $6,450,000
* construction cost = ($5,850,000 + $4,200,000)
