Answer:
bond market value $660
Explanation:
We need to calculate the present value of the maturity and the cuopon payment using the effective rate of 9.7%
First we do the annuity:
C 24.25 (1,000 face value x 4.85 bond rate / 2 )
time 24.00 (12 year 2 payment a year)
rate 0.04850 (current rate divide by 2 to get it annually)
PV $339.55
Then present value of the maturity
Maturity 1,000.00 the face value of the bond
time 24.00
rate 0.04850
PV 320.89
Finally we add them together:
PV coupon payment $339.5545
PV maturity $320.8910
Total $660.4455
rounding to nearest dollar
bond market value $660
I would need to see the following accounts inorder to fully help.
Answer and Explanation:
The adjusting entries are shown below:
a. Salaries expense Dr $1,400
To Salaries payable $1,400
(being salaries expense is recorded)
b. Interest expense ($40,000 × 12% × 1 ÷12) $400
To interest payable $400
(being interest expense is recorded)
c. Account receivable Dr $3,000
To Service revenue $3,000
(being revenue is recorded)
These 3 entries should be recorded
Answer:
B. Check the person's credit history to make sure he or she pays debts on time.
Explanation:
Applying for a loan from a bank is when a person wants to borrow money from the bank for his personal requirements. This is also one of the ways a bank does business, incurring interest while also 'helping out' a person in need.
One factor that banks take into consideration for approving a loan to a person is checking the credit history of that person. This means that the bank will investigate the person's credit score and how often he pays his credit bills. Depending on the pattern of the payment, a bank will be able to understand the dependability of the person for a loan's payment.
Thus, the correct answer is option B.
