Answer:
1) Debit Bank $11787069 Debit bond discount $912931 ; Credit Bond $12700000
2) Debit Interest expense $751293 ; Credit Bank $660,000 Credit Discount on Bond payable $91293
3 )Debit interest expense $ 751293 ; Credit bank 660000, Credit discount on bond payable $91293
b)Interest expense = $1502586
c)It is because a financial crisis might have happened prior to issuing the bond and the company still went ahead with issuing even though the rate has changed.
Explanation:
interest expense = 12000000 * 0.11 * 6/12=$660000
discount on bond payable = $912931 /5 = 182586 /2= 91293
Interest expense = $751293 * 2 = $1502586
Answer:
c. $400 billion
Explanation:
Calculation to determine what an initial increase in aggregate demand of $100 billion will eventually shift the aggregate demand curve to the right
First step is to calculate the GDP Multiplier
Using this formula
GDP Multiplier=1/(1-MPC)
Let plug in the formula
GDP Multiplier=1/1-0.75
GDP Multiplier=1/0.25
GDP Multiplier=4
Now let determine the shift in aggregate demand curve
Shift in aggregate demand curve=4*100 billion
Shift in aggregate demand curve= $400 billion
Therefore an initial increase in aggregate demand of $100 billion will eventually shift the aggregate demand curve to the right by $400 billion
Answer:
It will take 2.73 years to cover the initial investment.
Explanation:
<u>The payback period is the time required to cover the initial investment:</u>
Year 1= 0 - 2,400= -2,400
Year 2= 1,600 - 2,400= -800
Year 3= 1,100 - 800= $300
<u>To be more accurate:</u>
(800/1,100)= 0.73
It will take 2.73 years to cover the initial investment.
Answer:
Marketing deals with the existing and the potential market segments of a business essential and are responsible for the product, pricing, placing the product in the market and in the mildest of the consumer and promotion of the product.
Moreover, Markering is responsible for provide the upto date information of the consumers and to identify new trends and opportunities in the market as well.
Explanation:
Answer: a decrease in accounts payable
Explanation: Financing practices are long-term obligations and equity sales or market incidents. In other terms, financing practices are arrangements with shareholders or creditors that are used to finance business activities or developments.
Financing activities illustrate how an outside agency is financing its programs and enhancements. There is no internal funding involved. Hence from the above we can conclude that the correct option is D.
