Answer:
The total stockholders' equity amounts to $640,000
Explanation:
The total stockholders' equity is computed as:
Total stockholders' equity = Common Stock + Paid-In Capital in Excess of Par + Retained Earnings - Treasury Stock
where
Common Stock is $375,000
Paid-In Capital in Excess of Par is 90,000
Retained Earnings is 190,000
Treasury Stock is 15,000
Putting the values in the above:
= $375,000 + $90,000 + $190,000 - $15,000
= $655,000 - $15,000
= $640,000
Answer: $330
Explanation:
The Net cash received is the Total Money received minus the Total money paid.
The total money paid is calculated as such,
= $1,000 x 97%( this a DISCOUNT bond meaning that it was sold for less than Par. This number signifies how much in percentage of Par it was purchased for)
= $970
$970 is the Total Amount paid.
The Total Amount Received would be,
= Principle on Maturity + Interest for 5 years
= 1,000 + 1,000(0.06) * 5 years
= $1,300
Net Cash Received is therefore,
= Total Amount Received - Total Amount Paid
= 1,300 - 970
= $330
$330 is the net cash received over the life of the bond investment.
With a credit card you don't always need to use cash, but you have to pay fees to the bank for usage.
