Answer:
Explanation:
The journal entry is shown below:
Bonds Payable A/c Dr. $1,500,000
Loss on Redemption of Bond A/c Dr. $25,100
To Discount on Bonds Payable A/c $70,100
To Cash A/c $1,455,000
(Being the redemption of the bond is recorded)
The loss on redemption of bond would be
= $1,455,000 + $70,100 - $1,500,000
= $25,100
<span>They can negotiate with wholesaler in order to buy in bulk. Basically, they say ''we'll buy tons and tons of this item if you give use discount. ''smaller companies can't afford to make the same negotiation.</span>
Answer:
The Net Present Value is - $20324
Explanation:
We can use our financial calculator to work out the NPV using the cashflows from the different periods and using the discount rate given. Which is 18%.
We have 11 periods. Starting off with CF 0. ( CF = cashflow ) We will work in Thousands to make it easier to read and compute. $ ' 000
CF 0 Machine Investment (750) Working Capital Investment (25) Total=(775)
CF 1 160 inflow
CF 2 160 inflow
CF 3 160 inflow
CF 4 160 inflow
CF 5 160 inflow
CF 6 160 inflow
CF 7 160 inflow
CF 8 160 inflow
CF 9 160 inflow
CF 10 160 inflow
CF 11 160 inflow. 35 salvage value from machine. Working capital 25. Total Cashlow = 220
We now use our financial calculator and input these amounts into the calculator.
We start of by entering the data and hitting ENT and do so for every Cash flow. At the end we press 2nd function CFI on our calculator. We then enter the discount rate of 18%. and press down button to get to NPV and then press COMP.
We get an answer of -20,32400407
We now need to put the amount into thousands. Thus = -20324,004
rounded to the nearest dollar we get - $ 20324
Answer:
Velocity of money = 4
Explanation:
Given:
Money supply M = 6,000
Price level P = 2
Real GDP Y = 12,000
Find:
Velocity of money
Computation:
Velocity of money = [Price level x Real GDP] / Money supply
Velocity of money = [P x Y] / M
Velocity of money = [12,000 x 2] / 6,000
Velocity of money = [24,000] / 6,000
Velocity of money = 24 / 6
Velocity of money = 4
Answer:
John is a parent-country national, whereas Henry is a host-country national.
Explanation:
-Expatriate: is a person that lives in a country that is not his/her native country.
-Parent-country national: is a person that is working in a country that is different from his/her native country but he/she has the same nationality as the company that he/she works for.
-Host-country national: is an employee that is from the country in which the company is operating.
-Third-country national: is a person that has a nationality that is different from that of the firm and from the country in which he/she is working.
-Repatriate: is a person that returns to his country of origin.
According to this, the answer is John is a parent-country national, whereas Henry is a host-country national as both are from the US but John works in London and Henry in New York.
