Answer:
2.5%
Explanation:
Please follow the below mentioned steps in order to calculate a bond's current yield.
Step 1: Calculate annual bond payment (par value × coupon rate).
Step 2: Divide result from step 1 with 2 in order to convert it into semi-annual terms.
Step 3: Then divide the result from step 2 upon current market price and convert into a percentage.
Solution from step 1 to 3:
- Annual bond payment = $1000 × 6%
<em>ABP = $60</em>
- Semi-annual bond payment = $60 ÷ 2
<em>SABP = $30</em>
- Bond's current yield = $30 ÷ $1200 × 100
<em>BCY = 2.5%</em>
Answer:
$3,000.
Explanation:
Existences of supplies from previous month: $0
Bought supplies during June: $5,000
Supplies unused ar the end of June: $2,000
Supplies used during June = Existences of supplies from previous month + Bought supplies during June - Supplies unused ar the end of June
Supplies used during June = $0 + $5,000 - $2,000
Supplies used during June = $3,000
The adjusting entry to record an accrued expense is:
Debit to Supplies expense account (increases of expense)
Credit to Supplies stocks account (decreases of asset)
I would say the best answer to go with is A. Not to sure.
Answer:
In economics, the principle of absolute advantage refers to the ability of a party (an individual, or firm, or country) to produce a greater quantity of a good, product, or service than competitors, using the same amount of resources
(i.e : India has an absolute advantage in operating call centers compared to the Philippines because of its low cost of labor and abundant labor force.)
Explanation:
Answer:
The options that are true regarding dividends include:
- A stock dividend increases the number of outstanding shares.
- A stock dividend commonly indicates management's confidence that the company is doing well.
Explanation:
A stock dividend is a payment to shareholders that is made in shares rather than in cash.
Once investors receive stock dividends, the number of their shares will increase. this validates the first statement
Secondly, stock dividends have a tax advantage for the investor. The share dividend, like any stock share, is not taxed until the investor sells it unless the company offers the option of taking the dividend as cash or in stock.
The stock dividend has the advantage of rewarding shareholders without reducing the company's cash balance thereby indicating management's confidence in the company is well-being.
