Answer:
Journal entry that Parent will make on the date of acquisition to record the investment in Son Inc. is <u>$1035000.</u>
Explanation:
Journal entry Parent make on the date of acquisition to record the investment in Son Inc.
The net worth of Son’s Inc. is $ 1150000. The parent acquires 90 % of it . So we assume that 90 % stock is held by parent for $ 1035000.
Answer:
The answer is:
10% fixed rate = Company X's external borrowing (rate);
11.8% fixed rate = Company Y's payment to X (rate);
LIBOR + 1.5% = Company X's payment to Y (rate);
LIBOR + 1.5% = Company Y's external borrowing rate.
Explanation:
First, X will borrow at 10% fixed and Y will borrow at LIBOR + 1.5% floating; both at notational principal of $10 million.
Then; they will enter into a interest swap where:
- X will pay to the swap the interest rate of Libor +1.5% and receive from the swap the fixed interest rate of 11.8%. Thus, X interest income and interest expenses will be: Borrowed at fixed 10% and payment at Libor+1.5% to the swap; Receipt of 11.8% from the Swap=> Net effect: X borrowed at LIBOR - 0.3% ( saving of 0.3%).
- Y will pay to the swap the fixed interest rate 11.8% and receive from the swap LIBOR +1.5%. Thus, Y interest income and interest expenses will be: Borrowed at LIBOR +1.5 and payment 11.8% fixed to the swap; Receipt of Libor + 1.5% from Bthe Swap=> Net effect: Y borrowed at 11.8% fixed ( saving of 0.2%).
I think that Best Buy would include these requirements in the employment conditions so that prospective new employees will know what is expected of them to be able to choose the times they work, exercise time managment and be as independent as possible.
The article 2 of the UCC governs the sale of the items sold by Tanya only.
<h3>What is the article 2 of the UCC?</h3>
This is the Uniform commercial code that governs the sale of items in the United states.
Transactions in the forms of goods are the only types of items that can be applied to the code.
Read more on the Uniform commercial code here:brainly.com/question/15980446
<span>entries for cash dividends required on Declaration date and the payment date.A payment date is the date on which a declared stock dividend is scheduled to be paid.</span>