Answer:
The allowance can be taken based on:
a reduction (production) of the oil and gas reserves.
Explanation:
A limited partnership's allowance for depletion is a special form of depreciation used to account for the gradual reduction in the value of natural resources based on their usage or consumption. There are two methods for recognizing depletion of natural resources. They are the cost depletion method, which is based on usage, and the percentage depletion method, which is a percentage of gross earnings. Then, depletion is different from depreciation, in that depreciation is for tangible assets, while depletion is for natural assets.
Solution :
Given :
Coupon rate for Bond J = 3%
Coupon rate for Bond K = 9%
YTM = 6 %
Therefore,
The current price for Bond J = $ 718.54 =PV(6%/2,13x2,30/2,1000)x -1
The current price for Bond K = $ 1281.46 =PV(6%/2,13x2,90/2,1000)x -1
If the interest rate by 2%,
Bond J = $ 583.42 = -18.80% (change in bond price)
Bond K = $ 1083.32 = -15.46% (change in bond price)
If this question has the same set of choices like the other ones posted here, then the answer would be letter C. 529 plan- money you save.
Answer:
The answer is given below;
Explanation:
Legal Expenses Dr.$9,000
Patent (40,000+2,500) Dr.$42,500
Advertising Expense Dr.$80,000
Cash Cr.$131,500
Please note that legal and other fees for transfer of patent is capitalized in patent cost.
The compound entry is made to simplify the T-Account of cash as the second impact of every debit entry is cash.
Answer:
E. new restaurant
Explanation:
The entrepreneurial strategy matrix is a interesting model for the ongoing ventures an d the new ventures. It helps to identify the proper business strategies.
In the context, according to the entrepreneurial strategy matrix, a new restaurant is most likely to have a high risk and high returns as there is a lot of competition and rivalries in the restaurant industry in the market. Many people already have their favorite restaurant and they prefer going to their favorite or their selected restaurant.
So there is a risk in setting up a new restaurant which requires large investments without properly studying the market. On the other hand if a new restaurant manages to serve some really tasty and hygiene food to their customers, customers will prefer coming to this restaurant and this in turn will provide huge returns to the owners.