Answer: highlight the different level of activities
Explanation:
Activity Based Costing system assigns costs to the activity that are used in production and it highlight the different level of activities.
Activity based costing system is quite different from the traditional costing systems based on the way the indirect cost is being treated.
Answer: a. I, II and III are true
Explanation:
From the question, the statements that are true are:
I. 4% is the desired real rate of interest. II. 6% is the approximate nominal rate of interest required.
III. 2% is the expected inflation rate over the period.
4% is the desired real rate of interest because that's the rate at which the investor is willing to buy the goods in future.
2% is the expected inflation rate over the period because at that rate, there's expectation of future rise in price while 6% is the approximate nominal rate of interest required which is the addition of the 4% and the 2%.
Answer:
purchasing power bonds
Explanation:
The whole idea behind constant purchasing power bonds is that when they are redeemed, the amount of money received by the bondholder will hold a stable amount of purchasing power instead of a nominal amount of dollars.
This type of bonds are similar to inflation-linked bonds which are adjusted to the value of the CPI.
The whole idea is that the bonds will always yield real interest rates.
The journal entry to record the payment of the note and entire interest on april 1, 2017 is as follows; Debit Notes Payable $4,000, Debit Interest Expense 120, Debit Interest Payable 40, <span>Credit Cash $4,160.
April 1,2017
Notes payable $4,000
Interest expense $120
Interest payable $40
Cash $4,160</span>
Answer:
The correct answer to the following question is that Sara will not receive any dividend income .
Explanation:
Sara has bought the Plyler cabinets share ( 500 ) on Friday, May 29 but the plyler cabinets had declared dividend of $1.20 on a share on May 15, and the holders will get dividend on June 1 , which means she has bought the shares after the ex dividend date ( after 15th May ) so she will not receive any dividend income .
