1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
timofeeve [1]
3 years ago
9

On January 1, the Kings Corporation issued 10% bonds with a face value of $98,000. The bonds are sold for $96,040. The bonds pay

interest semiannually on June 30 and December 31 and the maturity date is December 31, ten years from now. Kings records straight-line amortization of the bond discount. Determine the bond interest expense for the year ended December 31 of the first year is. Select the correct answer. $9,800 $9,604 $9,996 $1,960
Business
2 answers:
laila [671]3 years ago
5 0

Answer:

The correct answer is $9,800

Explanation:

Solution:

Recall that

Kings Corporation issued bonds of = 10%

Face value = $98,000

Bonds sold for = 96,040

Determine the bond interest expense for the year ended December 31 of the first year

Now,

$98,000 * 10 bond = 9,800

Therefore, the bond interest expense for the year ended December 31 of the first year is + $9,800

Olenka [21]3 years ago
4 0

Answer:

$9,996

Explanation:

The bond is issued on discount when the issuance price is lower than the face value of the bond. The discount on the bond will be expensed over the bond period until maturity.

Discount on Bond = Face value - Issuance value = $98,000 - $96,040 = $1,960

Interest Expense includes the interest payment and the discount amortization.

Discount amortization = Discount value / Life of the bond = $1,960 / 10 = 196 per year = $98 semiannually

Interest Payment = $98,000 x 10% = $9,800 annually = $4,900 semiannually

Interest Expense = ( 4,900 + 98 ) x 2 = $9,996

You might be interested in
A seller uses a perpetual inventory system, and on April 17, a customer returns $1,000 of merchandise previously purchased on cr
Vika [28.1K]

Answer:

The solution is given in tabular form.

7 0
4 years ago
If an increase in the price of a product from $1 to $2 per unit leads to a decrease in the quantity demanded from 100 to 80 unit
Ksenya-84 [330]

Answer:

-0.33

Explanation:

The calculation of the price elasticity of demand using mid point formula is shown below:

= (change in quantity demanded ÷ average of quantity demanded) ÷ (percentage change in price ÷ average of price)  

where,  

Change in quantity demanded is

= Q2 - Q1

= 80 units - 100 units

= -20 units

And, the average of quantity demanded would be

= (80 units + 100 units) ÷ 2

= 90 units

Change in price is

= P2 - P1

= $2 - $1

= 1

And, the average of the price is

= ($2 + $1) ÷ 2

= 1.5

So, after solving this, the price elasticity of demand is -0.33

7 0
4 years ago
Ensuring proper collection preservation and safeguarding of federal records is the responsibility of.
Diano4ka-milaya [45]

Ensuring proper collection preservation and safeguarding of federal records is the responsibility of <u>All Air Force Personal</u>.

<h3>What is Record Management Policy?</h3>
  • All federal agencies are required under the Federal Records Act (44 U.S.C. 31) and related Code of Federal Regulations (CFRs) to keep records that detail their operations, file records for secure storage and quick retrieval, and dispose of records in accordance with agency schedules.
  • A record keeping policy is a collection of guidelines for managing the creation, receipt, storage for historical purposes, and destruction of documents and other information within an organization.
  • When it comes to safeguarding the rights and interests of the general public, holding public servants responsible for their acts, and recording the history of our country, federal records are crucial corporate assets.
  • Employees of the government are responsible for maintaining and creating Federal records as part of their duties.

There are numerous types of federal records, including but not restricted to:

  • recordings of audio and/or video
  • drawings for architecture, engineering, and other fields
  • electronic messages, such as texts, emails, and instant messages, used in computer-aided design
  • Geospatial data and maps, notes, and pictures
  • presentations
  • reports with statistics and narratives about social media content
  • web statistics

Know more about Record Management Policy brainly.com/question/14693974

#SPJ4

5 0
2 years ago
A benefit of monopoly for the business owner is
inessss [21]
<span>From the monopolist points of view the benefits are, holding 100% of the market, the ability to have a great influence on price and of course, no competition. 

I hope my answer has come to your help. Thank you for posting your question here in Brainly. We hope to answer more of your questions and inquiries soon. Have a nice day ahead!
</span>
6 0
4 years ago
What is price and explain factors that influencing price. Give at least 5 factors and explain them.
Archy [21]
It would be 764 have a good day bye
7 0
3 years ago
Other questions:
  • Tarah is attending a sold-out counting crows concert at madison square garden, with thousands of other counting crows fans. tara
    12·1 answer
  • What is the best model of bussiness
    6·2 answers
  • __________ is credited with being the first restaurant to franchise.
    12·1 answer
  • An expansionary monetary policy affects aggregate demand
    7·1 answer
  • Carter Co. sells two products, Arks and Bins. Last year, Carter sold 14,000 units of Arks and 56,000 units of Bins. Related data
    9·1 answer
  • A person can have only one dominant intelligence
    6·1 answer
  • Hamish Life, an insurance company, defines the difference in pay between an entry-level recruiter and an entry-level assembler,
    11·1 answer
  • Eugene Forest sold the following assets: stock acquired 5 years ago (cost $10,000) for $15,000, business equipment held 3 years
    15·1 answer
  • How does the book value of shares of stock differ from the market value of shares of stock? Use a real-world example in your ans
    7·1 answer
  • jerusalem medical ltd., an israeli producer of portable kidney dialysis units and other medical products, develops a 4-month agg
    14·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!